Swiss Banks Adopt Blockchain, Prioritize Cryptocurrency Integration 

As the study was being conducted by the University of St. Gallen in cooperation with vision & and Mintminds found that more than 80% of the banks surveyed in Switzerland are currently developing – or scaling up blockchain cryptocurrency-related solutions, pushing the Swiss blockchain initiative.

Crypto Interests, Blockchain Services

This was done by surveying a total of 19 Swiss banks, ranging from retail to private, universal, and investment banks. It concluded that more than 60% of these institutions are after concrete plans relating to cryptocurrencies.

Swiss banks show the keen interest of custodial services, trading platforms, and exchange-traded products for cryptocurrencies, with 60% of the banks were either planning such services or had already implemented them in the survey.

ETPs allow investors to track the value of a cryptocurrency on traditional stock exchanges – a critical part of future banking services that makes it easy for an investor to participate in such a market. Swiss blockchain companies are a key part of this evolving ecosystem.

Swiss blockchain law is also shaping the regulatory landscape, providing clarity and fostering innovation in blockchain-based services.

Growing Potential for Tokenized Assets

Apart from cryptocurrencies, the potential of tokenized assets also requires attention from Swiss banks, meaning the process of making physical or digital assets into their respective digital tokens on a blockchain and thus making their transfer and traceability easier.

“In doing so, 47% of banks want to develop an offering for tokenized assets,” the study unveiled. Although many are still in the early adoption of these services, much hope exists that the future of tokenization looks great, since it enhances liquidity, transparency, and efficiency.

According to the global consulting firm Boston Consulting Group, the asset tokenization market may balloon into a US$16.1 trillion opportunity by 2030. Increased access to private markets, better liquidity, and growing recognition from monetary authorities will spur the rise of tokenization. Swiss central bank blockchain adoption is expected to play a crucial role in supporting this growth, as financial institutions look for guidance in the blockchain space.

Blockchain Strategies on the Rise

It also appeared that almost 60% of banks in Switzerland have either developed or are working on a Swiss blockchain adoption strategy.

Most of these strategies have been driven by the need and urge to innovate, with 40% of the banks considering blockchain as a main driver of future growth. While Swiss banks continue to study and explore the capabilities of blockchain technology, the sector is set for significant growth.

The fact that management is highly supportive, and an increasing demand for digital assets suggests that blockchain does have a great future in Swiss finance. Swiss government blockchain taskforce initiatives have helped guide the industry’s development, while the Swiss blockchain association and Swiss bankers association blockchain projects have further bolstered efforts to standardize and expand Swiss blockchain adoption applications.

Inside Telecom provides you with an extensive list of content covering all aspects of the Tech industry. Keep an eye on our Cryptocurrency section to stay informed and updated with our daily articles.