Sygnum Bank Launches Multi-Asset Instant Settlement Network Dubbed Sygnum Connect

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As a seasoned crypto investor with a keen interest in the latest developments in the digital asset industry, I’m excited about Sygnum Bank’s new product, Sygnum Connect. Having experienced the challenges of settling transactions in the crypto ecosystem, I can appreciate how this solution addresses a significant pain point by making transactions faster, cheaper, less risky, and more reliable.

As a researcher studying the latest developments in the digital asset banking sector, I’m excited to share that Sygnum Bank, a pioneering institution based in Switzerland and Singapore, has unveiled a novel product called Sygnum Connect. This innovative solution is designed specifically for eligible institutional investors, enabling them to experience instant fund settlements for various assets – digital assets, fiat currencies, and stablecoins. Operating throughout the week, Sygnum Connect aims to streamline transactions, thereby enhancing operational efficiency and reducing settlement risks.

The proposal encompasses a range of features such as instant delivery-vs-payment exchanges, on-the-spot Lombard loans, currency conversions, and the generation and exchange of stablecoins.

As a crypto investor, I’m excited to share that Sygnum Bank has already onboarded several clients like AsiaNext, Hiden Road, and B2C2 onto their platform, Sygnum Connect. This platform will offer essential fund settlement services to over 200 clients of the Swiss-based crypto bank. Initially, the system will accommodate USD, CHF, EUR, and SGD. The bank further announced that support for leading digital assets such as Bitcoin (BTC), Ethereum (ETH), and stablecoins will be introduced before the third quarter comes to an end in 2024.

“Sygnum Connect addresses a crucial aspect of crypto transactions by enabling faster, more affordable, less risky, and more dependable exchanges between participants within the global crypto marketplace. By doing so, Sygnum Connect plays a pivotal role in enhancing connectivity between the traditional financial sector and digital asset economy, granting professional and institutional investors the confidence to invest and conduct transactions,” Thomas Eichenberger, Chief Product Officer at Sygnum Bank, explained.

Sygnum Connect and Market Outlook

As a crypto investor, I’m thrilled about the launch of Sygnum Connect, especially given the current surge in digital asset adoption. With the recent green light for spot Bitcoin ETFs in the US and other regions, the demand for cryptocurrencies is stronger than ever. Since its founding in 2017, Sygnum Bank has built a substantial European and Asian clientele. Therefore, this new offering from Sygnum is perfectly timed to cater to the growing needs of digital asset investors worldwide.

Through the partnership between Sygnum Bank and Fireblocks, Sygnum’s over 1,800 institutional clients will be able to easily integrate with Sygnum Connect by the end of Q3.

As a crypto investor, I’m excited about the upcoming integration between Fireblocks and Sygnum Connect. According to Ran Goldi, Fireblocks’ Senior Vice President of Payments and Networks, this partnership is going to make a huge difference in the settlement process for institutional investors, particularly when it comes to cross-chain transactions. Sygnum Connect will directly challenge other web3 settlement networks, like Ripple‘s On-Demand Liquidity (ODL), which utilizes XRP and the XRPL network.

The European MiCA regulatory framework’s gradual rollout has drawn a substantial number of institutional investors towards the web3 sector.

Institutions embracing digital assets and web3 platforms on a larger scale have notably enhanced the underlying market fluidity.

Over an extended period, the process of converting real-world assets into digital tokens on various blockchains will broaden investment opportunities to international markets, particularly benefiting those who are unbanked. Unsustainable monetary policies implemented by central banks globally have been a significant driving force behind the widespread acceptance of digital assets.

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2024-07-11 14:57