Zurich Cantonal Bank (ZKB), Switzerland’s fourth-largest bank, has officially launched cryptocurrency trading and custody services, allowing its clients to trade Bitcoin and Ether. As announced on September 4, the service is seamlessly integrated with ZKB’s existing eBanking and mobile platforms, providing 24/7 access to cryptocurrency trading.
ZKB, also known locally as Zürcher Kantonalbank, boasts total assets worth 200 billion Swiss francs ($235 billion). The bank is positioning itself as a key player in the digital asset market, offering customers a high level of security by managing the storage of private keys. This means customers do not need to manage their own wallets, as ZKB securely stores their private keys on their behalf.
In addition to its retail customers, ZKB’s crypto service extends to third-party banks, providing a business-to-business (B2B) solution. Thurgauer Kantonalbank, another Swiss cantonal bank, is the first to use ZKB’s new B2B service. Transactions are facilitated through Crypto Finance AG, a subsidiary of Deutsche Börse Group, ensuring reliable and efficient trading.
ZKB has been gradually expanding into the digital asset space over the past few years. In 2021, the bank participated in issuing the world’s first digital bond on the SIX Digital Exchange. More recently, in 2023, ZKB managed the issuance of digital bonds linked to a central bank digital currency, demonstrating its commitment to innovation in the blockchain and cryptocurrency sector.
ZKB’s move follows in the footsteps of other Swiss banks, such as Zuger Kantonalbank and Luzerner Kantonalbank, which have already ventured into the world of cryptocurrencies. This latest development positions ZKB as a major player in Switzerland’s evolving digital financial landscape.