ADGM Welcomes Swiss Sygnum Bank in Expansion Effort
Swiss digital currency bank Sygnum has expanded its operations into the Middle East with a new center in the Abu Dhabi Global Market (ADGM).
The company had received approval to operate in the country from the ADGM in 2022.
The bank is looking to tap into the huge affluent population and cash in on the multibillion-dollar crypto market. It noted that regional demand for regulated crypto services is now on the rise, with more than a third of residents in the UAE alone already invested in the local crypto market.
“With 35% of the UAE population already invested in the local $25 billion crypto market and over 1,400 crypto organizations locally-based, Abu Dhabi has the potential to become a future regional and international hub for Web3, metaverse and blockchain-based projects,” Sygnum said.
As a matter of fact, the UAE has seen significant growth in digital currencies, with Dubai leading the way, following the establishment of a new licensing regime and regulatory body.
Abu Dhabi’s ADGM is following in Dubai’s footsteps, aiming to attract global players in Web3 and blockchain. In February, ADGM announced a $2 billion fund for startups in these fields.
Sygnum’s plans to cater to high-net-worth individuals in Abu Dhabi is made more achievable by the region’s large number of millionaires and billionaires. The bank said it will enable customers to access a portfolio of Swiss-regulated digital asset banking, asset management, tokenization and B2B banking services.
ADGM’s Chief of Markets, Arvind Ramamurthy, stated that Sygnum’s addition to the community would contribute to the region’s growth and that ADGM’s regulatory jurisdiction for digital assets is the largest in the MENA region, providing the necessary tools for such companies to grow in the UAE’s financial sector.
