Lele Jima
More banks continue to offer Bitcoin and Ethereum services.
Liechtenstein-based private bank, LGT Bank, has announced that it has commenced the offering of crypto-related services.
With the recent announcement, LGT Bank clients can now invest in the world’s two-largest cryptocurrencies by market capitalization, Bitcoin (BTC) and Ethereum (ETH).
Per an official announcement by the bank today, the initiative prompted LGT Bank to partner with Swiss crypto bank SEBA Bank, which is tipped to act as a broker and custodian on behalf of its clients.
LGT Bank noted that it opted to delve into cryptocurrency offerings following the rising demand for the asset class, which can be costly for clients who lack sufficient understanding of digital currencies.
Roland Matt, CEO of LGT Bank, Liechtenstein, expressed the bank’s excitement in offering its clients convenient means to invest in the nascent market while focusing on investors’ protection, adding:
“We worked intensively on this offering. Cryptocurrencies are still in a stage of dynamic development. LGT therefore first created the corresponding, necessary processes and framework for this type of investment.”
It is worth noting that LGT is the largest bank in Liechtenstein with a market share of 46%, according to data from the Corporate Finance Institute.
Details of the Offering
Notably, investing in digital currencies via LGT Bank requires similar procedures like investments in traditional financial instruments.
Investors will receive the same documentation for their tax returns when they invest in Bitcoin and Ethereum via the Liechtenstein-based bank.
“We have the expertise, established processes and, above all, a custody solution that is ISAE-certified and established by independent bodies. The range of services combined with the highest security standards makes SEBA Bank’s service offering unique, and we are very pleased to be able to use our expertise to support LGT in expanding its services for digital assets,” Franz Bergmüller, CEO of SEBA Bank, said.
Per the announcement, the newly-launched service will only be available to clients based in Switzerland and Liechtenstein.
However, plans are being made to launch Bitcoin and Ethereum services to LGT Bank clients based in other regions outside Liechtenstein and Switzerland, the announcement adds.
Banks Offering Crypto Services
Bitcoin and Ethereum have grown in popularity and have also attracted the attention of top financial institutions.
Banks fear that not offering crypto-related services could see their clients move over to their competitors.
Earlier this week, Argentina’s largest private bank announced that it had added a cryptocurrency trading feature to its investment platform.
This comes less than a month after MicroStrategy CEO Michael Saylor predicted that more banks will continue to enter the crypto space.
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