Danske Bank Reverses Crypto Ban, Allows Bitcoin and Ethereum ETPs
- Danske Bank has lifted its ban on digital assets, allowing investments in Bitcoin and Ethereum exchange-traded products (ETPs) via its online banking platforms.
- This policy change marks the first engagement with cryptocurrencies since the bank’s ban in 2018, which labeled them as speculative.
- The decision was driven by rising client demand for regulated crypto-backed investment products within traditional financial systems.
- Kerstin Lysholm, head of Investment products at Danske Bank, noted that regulatory improvements in Europe influenced this shift.
- Despite the new offerings, Danske Bank maintains that it views cryptocurrencies as high risk and will not provide advisory services on them.
The move comes amid a broader trend of increasing institutional interest in crypto ETFs, with U.S.-based spot Bitcoin ETFs reporting $311.6 million in inflows this week alone.
As Danske Bank opens doors to ETPs, it highlights a significant shift in customer behavior towards seeking cryptocurrency exposure despite market volatility.(Source)
