World’s First Crypto Bank Adds Ripple’s XRP Support

Sygnum Bank, the first crypto bank licensed by FINMA, announced on April 30 that Ripple’s XRP tokens are now available through its banking platform. Users can access deposit, exchange and credit services using popular digital currency.

Based in Switzerland, the bank will now To allow the third most capitalized digital token behind Bitcoin (BTC) and Ethereum (ETH) for use by clients looking to diversify their direct investments in digital tokens, in conjunction with other asset management products on offer.

Sygnum customers can use deposits in traditional currencies, such as Swiss Franc, Euro, Singapore Dollar, and US Dollar, to buy, hold and trade XRP tokens backed by the Ripple protocol.

Increase in the liquidity of the banking book

Additionally, clients can transfer XRP tokens to their Sygnum deposit account or increase their liquidity in traditional fiat currencies with a Lombard loan granted against XRP.

Mathias Imbach, co-founder of Sygnum, welcomed the announcement and commented as follows:

“We have been impressed with Ripple’s excellent performance globally – they now have over 300 financial institutions in their global payments network, RippleNet. The XRP-based solutions developed by the company address weak points in the growing global $ 700 billion remittance market. The low cost of transfers makes them an ideal tool to facilitate payments in emerging economies.

The bank also pointed out that the Ripple protocol enables instant, low-cost cross-border transfers, rather than the traditional way to send money overseas.

The assets of Sygnum’s clients are held in separate and highly secure individual portfolios. They are available in one click from each customer’s e-banking platform, and accessible anywhere in the world.

Interest for banks in the Ripple protocol

This is not the first time that a bank has integrated the Ripple protocol into its operations. Cointelegraph reported on April 10 that Azimo, a digital currency service, has partnered with Siam Commercial Bank in Thailand to launch an instant cross-border payment service through RippleNet.

MoneyGram said in February that it had received funds from blockchain-based payments company Ripple Labs to continue to develop the use of blockchain capabilities in its services.