Sygnum, a digital bank based in Switzerland, has opened a new branch in the Abu Dhabi Global Market (ADGM) to cater to affluent clients and businesses involved in cryptocurrencies.
The bank’s spokesperson revealed that Sygnum aims to expand its activities in the Middle East, hence the decision to establish a new office in ADGM, which is an international financial hub in the United Arab Emirates.
Sygnum’s services will primarily target high net worth clients who are willing to take on high-risk investments.
The bank had initially planned to enter the Middle East market in October 2022, after receiving approval from ADGM to operate in the country.
According to Sygnum, around 35% of UAE citizens have already invested in over 1,400 local cryptocurrency organizations worth a total of $25 billion.
As such, the bank is optimistic that Abu Dhabi will soon become a regional and global center for blockchain, metaverse, and Web3 projects.
ADGM’s Head of Market Development, Arvind Ramamurthy, highlighted that Sygnum’s regulated operations in Abu Dhabi would significantly boost cryptocurrency innovation in the region.
ADGM, as the largest regulated jurisdiction for digital assets in the Middle East and North Africa (MENA), is also poised to provide the necessary tools to support the growth of cryptocurrency companies in the UAE.
In 2021, Sygnum made history as the first regulated bank to integrate the Ethereum 2.0 staking feature.
The bank also launched custodial services for ICP tokens belonging to the DFINITY project, demonstrating its commitment to driving innovation in the cryptocurrency space.