The Swiss financial services provider is looking to expand its crypto offering by the end of September with a comprehensive trading platform that will allow clients to trade cryptocurrencies directly through a self-managed order book.
Swissquote - Switzerland's largest online bank - announced a good six months ago that it was planning to launch its own crypto trading platform. The launch was originally scheduled for the end of June this year, but was postponed due to losses this year. However, despite market turmoil and a downturn in crypto markets, Swissquote is persisting with the project.
Swissquote relies on crypto
With annual revenues of over 350 million Swiss francs, over 1,000 employees and a product offering with a choice of over 3 million products, Swissquote is the largest online bank in Switzerland. But it too has felt the macroeconomic challenges in the current bear market. In its half-year report, the losses of the first two quarters of this year were clearly visible. Investors' caution due to economic turmoil (war in Ukraine, lockdowns in China, FED rate hikes, etc.) has significantly changed investments compared to last year.
The company was able to generate "only" 77 million CHF in net profit in the first half of the year; around a third lower than 2021. Around 13% of this was generated from revenues around crypto assets. Swissquote apparently wants to increase this share further. With the postponement of the trading exchange to the end of September, the online bank is buying itself some time, whereby customers will be able to trade directly among themselves via their own centralized order book.
Many years of crypto experience
The company allowed customers to invest in cryptocurrencies as early as 2017. This offer was then further increased in 2020 and 2021. Now, customers can already trade 34 cryptocurrencies, various ETFs and ETPs as well as leveraged mini futures. The new trading platform is expected to further expand the segment for crypto enthusiasts.
The company gained further experience with the Yuh trading app. This was launched in partnership with PostFinance in 2021 and offers a wide range of applications for retail customers. Under the "Invest" category, cryptocurrencies can of course also be traded in addition to blue chip stocks. The fact that PostFinance also wants to enter crypto trading should underline the success of this offering.
