Sygnum Protect Surpasses $1B in Assets by Uncovering Crypto Volatility for TradFi Institutions

We suckA global digital asset banking group manages assets held in its own account. Sygnum Protection The over-the-counter custody platform has now surpassed one billion US dollars. This milestone comes on the back of a phenomenal annual growth of 900 percent in 2025, highlighting demand from institutional players seeking secure entry into the industry. cryptocurrency markets.

launched in partnership with Binance Expanded to include Deribit in April 2024 and Bybit in September 2025, Sygnum Protection protects users from stock exchanges It accounts for more than 50 percent of global spot and derivative trading volumes.

In an industry where annual market activity exceeds half a trillion dollars, this infrastructure is becoming indispensable in traditional finance (TradFi) entities.

The platform’s core innovation lies in its off-balance sheet custody model. Customer assets are held in completely separate, insolvency-free accounts separate from Sygnum’s own balance sheet.

This arrangement, supported by the bank’s multi-layered security protocols and expert team, significantly reduces counterparty risks directly associated with foreign exchange assets, especially during periods of intense market fluctuations or potential platform outages.

One prominent feature is the acceptance of U.S. Treasury securities as collateral, which can continue to provide returns even after collateral requirements are met.

Complementing these is support for major stablecoins such as: USDT and USDC, as well as a range of digital assets across multiple blockchains.

Flexible management tools, including fiat linkages in major currencies, enable rapid deployment of capital without compromising security or compliance.

This setup is particularly attractive to hedge funds, market makers, prime brokers and other institutional entities. traders.

It allows them to take advantage of the high volatility and 24/7 liquidity of crypto markets (far beyond many traditional asset classes) while maintaining robust risk controls and operational flexibility.

By separating their trading activities, participants can better manage periods of stress and pursue arbitrage and other income opportunities.

Dominic LohbergerSygnum’s Chief Product Officer noted that investors’ preference for reliable products is increasing. trustees This is due to increased awareness of security threats and past market events.

“Sygnum Protect strengthens the resilience of the industry,” he said, “enabling institutions to explore digital assets with confidence.”

The bank plans to offer additional collateral types and host more trading venues throughout 2026.

Alain PassiniHead of Risk at Wintermute, a platform user, added that such storage solutions are critical to mitigating risks in turbulent conditions.

The ability to earn returns on collateral provides a financial advantage by blending efficiency with protection.

in crypto derivatives volumes reach record levels in 2025, We suck‘s solution reflects the broader professionalization of digital asset trading.

Supported by Switzerland’s regulatory framework, this program accelerates the integration of traditional finance with the EU. crypto-We aim for greater stability, liquidity and responsible innovation in the future.