Switzerland’s leading bank, BBVA, recently announced the expansion of its crypto custody and trading services to include USD Coin (USDC) for institutional and private banking clients in Switzerland. This move allows clients to trade, hold, or convert USDC into euros, dollars, or other currencies almost instantly. The bank highlighted that stablecoins like USDC are popular among investment fund managers and large corporations due to their ability to speed up transactions across different cryptocurrency exchanges and mitigate the volatility risk associated with other cryptocurrencies.
USDC’s primary advantage lies in its direct connection to the USD, ensuring its value remains stable compared to the unpredictable nature of other cryptocurrencies. This stability makes it a reliable store of value in the market, appealing to a wide range of investors and traders. BBVA’s digital asset services in Switzerland, through its Garanti BBVA Digital Assets platform, also allow customers in Türkiye to trade, store, and transfer USDC, along with other popular cryptocurrencies like Bitcoin, Ether, and AVAX, as well as securely store Chiliz holdings.
BBVA’s addition of USDC to its digital asset services in Switzerland marks the third crypto supported by the bank, following the introduction of Bitcoin and Ether in 2021. These cryptocurrencies were in high demand among investors, prompting BBVA to expand its offerings and shift its custody operations to Metaco’s Harmonize platform by the end of 2023. Philippe Meyer, the Digital Solutions and Blockchain Head at BBVA in Switzerland, emphasized the bank’s commitment to providing clients with access to tokenized products and assets that may not be available through traditional financial institutions.
Switzerland’s blockchain-friendly policies and regulatory framework have positioned the country as a hub for crypto and blockchain innovation. The Distributed Ledger Technology (DLT) Act, enacted in Switzerland, allows for the tokenization of securities and rights, making trading on blockchain networks more efficient. Cities like Zug, also known as “Crypto Valley,” have attracted numerous blockchain startups, foundations, and companies, solidifying Switzerland’s reputation as a crypto-friendly jurisdiction with a strong infrastructure to support the industry’s growth and development.
