Swiss Bank UBS Considers Offering Crypto Trading

As we see crypto becoming the new form of currencies in everyday life, we are now starting to see banking institutes slowly integrate crypto into their own practices. If you’re new to the concept, our What Is Cryptocurrency? Complete Beginner’s Guide to Digital Money explains how digital currencies work and why they matter.

What once seemed impossible is now becoming more common, especially as demand continues to grow. UBS is said to now be exploring permissions that would allow their “wealthy” private account holders to interact with crypto trading and investing directly through the bank itself—so let’s get into what all of this really means.

What is UBS?

UBS (Union Bank of Switzerland) is a major investment bank that offers financial services to clients all over the world. The international bank is widely known for managing a large portion of the world’s private wealth, including billionaire clients, with more than $7 trillion in assets accounted for. Because of this, any move UBS makes tends to grab attention.

This well-known institution employs around 74,000 people and operates across 52 countries. Their main offices are located in Zurich and Basel, and the bank holds a huge amount of influence in global finance. When UBS starts testing something new, people tend to pay attention.

What do they currently offer?

UBS is widely known as one of the biggest names in money management, but they offer much more than just one service. Their services include global wealth management, asset management, investment banking, and a Swiss personal and commercial bank. This allows UBS to serve clients that have many different financial needs.

While UBS already offers a large variety of services, this list may soon grow even more with the ongoing talks around crypto. UBS is starting to consider expanding their investment offerings by adding crypto trading/ investment into the mix. This would allow the bank to stay relevant while stepping into one of the fastest-growing markets.

In November of 2023, UBS already began testing this idea by allowing a select group of their wealthier clients in Hong Kong to access crypto feature-based ETFs. This move gives clients exposure to crypto without directly owning it, while also allowing UBS to test the waters and see what could be possible moving forward.

Talks of UBS adding crypto — what to expect

More and more news articles are starting to push out reports about UBS integrating crypto into their system, but what do they actually say? Here’s what we currently know. According to reports, this Swiss lender is securing a select group of wealthy clients for an upcoming crypto-related offering. This suggests that UBS is taking a cautious and controlled approach.

Bloomberg News reports that UBS plans to roll this out first and, depending on how things go, may consider expanding to the Asia-Pacific and US region. These areas have already shown strong interest in crypto adoption, making it a logical next step.

As Bloomberg reports this, a UBS spokesperson told another source, “As part of UBS's digital asset strategy, we actively monitor developments and explore initiatives that reflect client needs, regulatory developments, market trends and robust risk controls…We recognize the importance of distributed ledger technology like blockchain, which underpins digital assets.” This statement supports the idea that UBS is serious about crypto, but still being careful.

This leads many to believe that Bloomberg’s report could be accurate, though there is still room for speculation. It also raises bigger questions about what the future of banking may look like as crypto continues to gain traction. Traditional banks may soon have to adapt faster than ever.

This shift could even benefit gamblers in ways many haven’t considered. Being able to use crypto through a private bank and then move it into preferred online casinos could make things easier and more accessible for players.

All of the talk around crypto expansion among UBS’s wealthy clients appears to be a major reason behind this possible move. While no final decision has been made yet, it leaves many of us wondering—what is the future of banking really going to look like? 

Instead of crypto replacing banks, they might slowly start pulling crypto into their own institutes and offer crypto trading the same way they offer stocks. This can make it easier for users to invest and trade without the complication of crypto wallets or scam platforms due to the trust they have already built with their preferred banks. This can further push crypto into the mainstream as well as help the banks stay relevant with the new evolution of finance. 

Banking overall can also change with the blockchain technology being integrated behind the scenes, making for faster and more transparent transactions for customers. At the end of it all, finance is changing and it is a matter of if the banks will be able to keep up with the rising demand to survive or be left behind in the times.