Swiss bank Sygnum has announced that its clients can now use its institutional-grade banking platform to buy and allocate Ethereum into Ethereum 2.0 contracts from their existing wallets.

Leading Sygnum Bank Movement:

a statement Sygnum Bank announced that it intends to become the first banking institution to provide an Ethereum 2.0 allocation service.

By doing so, the bank’s customers will be able to earn returns of up to 7% per annum (at current estimates).

The bank, which is headquartered in Switzerland and Singapore, announced that staking services are fully integrated into its platform, and the bank also highlighted the increased security.

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Sygnum told Ethereum that Ethereum is a fast-growing network, and as such, staking is an attractive option for long-term investors looking to turn a profit.

Thomas Eichenberger, Head of Business Units at Sygnum Bank, commented on this move, saying:

Ethereum is the second largest blockchain protocol, and staking Ethereum is an essential component of cryptocurrency wallets that can now be accessed in a convenient, secure and regulated environment.

This expands Sygnum’s offering of attractive, structured, revenue-generating products to meet customer needs to accumulate other forms of revenue in addition to raising capital.

As is well known, “staking” is the process of actively participating in the validation of transactions on the blockchain via Proof of Stakes (PoS).

Anyone with the minimum balance required for a cryptocurrency can validate transactions and earn rewards on these blockchains that support this mechanism.

Aside from Ethereum 2.0, Sygnum Bank also provides a stake-out feature for Tezos, with a term limit for the deposit to generate return on the digital stablecoin in Swiss Franc (DCHF).

Allocating Ethereum and storing it in Ethereum 2.0 is continuous:

The new upgrade of the Ethereum 2.0 network aims to improve blockchain security and scalability.

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Ethereum is making the transition from a power-intensive Proof of Work (PoW) to a more efficient Proof of Stake (PoS) consensus algorithm.

This also aims to turn Ethereum into a more environmentally friendly network.

It is worth noting that the Ethereum backlog in the Ethereum 2.0 testnet currently represents more than 5% of the total circulating supply of the cryptocurrency.

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