On Monday, the Spanish bank BBVA announced that it is expanding its crypto custody and trading services for institutional and private banking clients in Switzerland to include USD Coin (USDC). This service will enable the client to sell, hold, or exchange USDC to euros, dollars, or any other currency of their choice within a very short time, thereby expanding the management of cryptocurrencies.
In BBVA’s view, large corporations and investment fund managers employ stablecoins, such as USDC, to boost transaction speeds in crypto exchanges. Converting assets into stablecoins also eliminates the typical risk for other cryptocurrencies and keeps the value during market fluctuations.
USDC Adds Stability to BBVA’s Crypto Offerings
The major advantage of USDC is its direct connection with USD, which provides stability compared to other cryptocurrencies. This makes USDC a stable store of value in an otherwise volatile market. BBVA also has Garanti BBVA Digital Assets in Turkey, which allows customers to trade, store, and transfer USDC, Bitcoin (BTC), Ethereum (ETH), and Avalanche (AVAX) and securely hold Chiliz.
According to BBVA, USDC is the third cryptocurrency that the bank has integrated into its digital asset services in Switzerland after BTC and Ether. Due to high investor demand, the following cryptocurrencies were launched in 2021. In 2023, the bank moved its custody business to Metaco’s Harmonize to support its digital asset services.
BBVA Expands Crypto Services for Private Clients
As per Philippe Meyer, the Global Head of Digital Solutions and Blockchain at BBVA in Switzerland, the bank aims to offer private clients simple access to tokenized products often not offered by conventional financial institutions. Meyer pointed out that institutional clients also have needs that pertain to solutions that guarantee the safety of their assets, which only emphasizes the bank’s commitment to serving different types of clients.
This aligns with the general increase in financial institutions extending their services to provide better crypto-related services. Through the USDC offer, BBVA is leading the way in offering innovative financial solutions to its private and institutional clients in Switzerland and other countries.
Switzerland Strengthens Role in Global Crypto Market
Switzerland has issued further welcoming rules for the blockchain and cryptocurrency companies, thus strengthening its position as one of the main players in the crypto market. The Distributed Ledger Technology (DLT) Act also provides for tokenizing securities and rights, thus enhancing the efficiency of trading such securities and rights on blockchain networks.
Switzerland has been very clear with its rules, and as a result, many investments have been made, especially in cities such as Zug, which has been dubbed the “Crypto Valley,” given that it is host to numerous blockchain startups, foundations, and companies.
