STORE CRYPTO CURRENCIES
Clients can hold the crypto currencies that they have purchased or transferred from blockchain on their Multi-currency accounts.
The Bank currently offers its clients six of the most popular crypto currencies - Bitcoin (BTC), Ether (ETH), Litecoin (LTC), Stellar (XLM), Bitcoin Cash (BCH), Tether (USDT) and Dukascoin (DUK+).
All crypto currencies (except for the Dukascoin) kept by clients are held in the form of specific CFDs, this approach is similar to holding crypto currency itself from a risk perspective and financial aspects but also benefits from the deposit protection scheme which is more attractive for clients. These CFDs have a very low risk profile because there is no leverage, short sales are not allowed, margin calls and losses exceeding initially invested amounts are not possible. The value of investments in crypto currency CFDs over Multi-currency accounts is protected up to a maximum of CHF 100,000 per client under Swiss legislation
Dukascoins (DUK+) held by clients in the custody of the Bank are held as a deposit in crypto currency and are therefore not protected under Swiss legislation
Private banking clients with a Savings account may store cryptocurrencies such as BTC, ETH, USDC, LTC, AAVE and others using the Bank’s fiduciary services. The investment process implies signing the fiduciary services agreement and selecting the high-quality custody service provider suggested either by the client or by the Bank. Fiduciary services are included in the Savings account package and benefit the holder with lower fees and an additional layer of protection. Funds on such accounts are segregated and stored separately from the funds of the rest of the clients, meaning that in case of the Bank’s bankruptcy, the funds will not fall under administration of a trustee and will only be used to repay the holder of the account. Under Swiss legislation , deposits are protected up to a maximum of CHF 100,000, and Fiduciary form of protection is usually applied to the accounts that exceed this limit.
The Bank holds its own and clients’ crypto currencies on a combination of cold and hot wallets with multi-signature access in respective blockchains and on its accounts with selected partners such as regulated crypto exchanges and other banks.
The Bank charges competitive fees for clients’ crypto currency storage.