Ethereum conquers Singapore’s largest bank
Singapore’s largest bank, DBS Bank, has a wallet of Ethereum with the equivalent of 650 million dollars in ether (ETH)native cryptocurrency of the network.
The information was known through the platform specialized in cryptocurrency research and analysis, Nansen. The identified address accumulated 173,700 ETH. As a result of the rise in the price of this cryptocurrency since the end of 2023 and during the last week of May, when the first approval of the Ethereum ETF was announced, the unrealized gains increased to reach an amount close to 200 million Dollars.
The following graph shows how the investment in ether made by DBS has evolved.
In this way, DBS Bank could be described as an Ethereum “whale”. This financial institution, founded in 1972, is not new in the ecosystem of cryptocurrencies. In 2020 he created the first exchange of cryptocurrencies bitcoin, ether, XRP and bitcoin cash backed by a traditional bank. This exchange enables trading with Singapore dollars, US dollars, Hong Kong dollars and Japanese yen. This will make it easier for users to exchange BTC and the tokens mentioned above.
In addition to this, it offers its clients services related to cryptocurrencies, such as custody, management and trading of digital assets.
In a May 2024 report, DBS Bank reported that interest in the cryptocurrency market is expanding from “retail, high-frequency investors and hedge funds.” The document adds: “Authorities seem more receptive to cryptocurrencies.”
Therefore, for a traditional banking institution to get involved and actively participate in the digital currency ecosystem could encourage other institutions to follow in its footsteps.
The market sees a favorable future for ether and its ETFs
This revelation made by Nansen occurs in a particular context: investors, institutions and corporations could be anxious and on the lookout for implementation of ether ETFs in the United States.
If the US Securities and Exchange Commission (SEC) gave the green light to spot funding of the Ethereum network’s native token, this event would grant a increased institutional adoption of ETH.
Due to the ease and practicality that these types of funds present for the entry of new money flows into the market, the arrival of possible new investors is expected. From this, speculation begins about a possible rise in the prices of ether and the tokens of the Ethereum network.
Cryptocurrency adoption increases in the banking system
Just like DBS in Singapore, a large portion of the banking spectrum increases adoption by bitcoin and cryptocurrencies, as CriptoNoticias has reported in recent days.
In mid-May, it was learned that large banks in the United States recognized their exposure to bitcoin. JPMorgan, Morgan Stanley, Wells Fargo, PNC Bank, Edmond de Rothschild and BNP Paribas announced spending millions of dollars on bitcoin ETFs.
In Germany, the country’s largest federal bank, Landesbank Baden-Württemberg (LBBW) is preparing to offer the custody of bitcoin and cryptocurrencies. These services will be available by the second half of 2024 and will be intended for corporations and institutions.
In turn, at the end of March 2024, it was reported that the banking messaging network SWIFT is working on creating its platform to connect digital currencies with central banks.
These movements, in short, denote a closer approach and greater incursion of the traditional financial system into bitcoin and the cryptocurrency market.
