DBS Bank Suspected of Holding $650M Ether in Crypto Wallet, Reflecting Significant Growth in Crypto Division
Summary:
DBS Bank, a multinational banking and financial services company, is speculated to own a crypto wallet holding over 170,000 Ether, valued at approximately $650 million, as per blockchain analysis firm Nansen. The Ether could be from DBS' accredited investor exchange and may not necessarily be bank assets. DBS Bank, known for launching a crypto trading and custody service in 2020, has seen significant success in its crypto division, with a quadrupling of Bitcoin purchases in 2022 and an 80% growth in Bitcoin trading volume in 2023. The bank has also facilitated transactions in digital yuan for corporate clients through DBS Bank China.
DBS Bank, a global banking and financial services corporation, is thought to have over 170,000 Ether in a crypto wallet, which has a value of close to $650 million. This discovery was made by Nansen, a blockchain analysis company, on May 30 when they spotted an Ethereum "whale" linked to this Singapore-based bank. Nansen identified DBS as the possible whale holder, which is one of the leading banking institutions in Singapore. They surmise that the said crypto wallet may have already garnered a $200 million profit from holding Ether (ETH). DBS Bank was reached for comment by Cointelegraph but no prompt reply was given.
Although it remains unconfirmed whether the ETH in question belongs to DBS, there's a presumption that it might stem from DBS' digital exchange intended for accredited investors. A participant in the discussion suggested that the held ETH might not be bank assets, rather, they could be assets held in trust for investors.
However, when asked about the source of their information, Nansen did not provide an immediate answer to Cointelegraph. In the previous year, DBS Bank announced its crypto trading and custody service along with a platform for executing security token offerings. DBS Exchange clarified at that time that it would not own any assets but would provide custody services to investors. "All digital holdings are stored at DBS Bank, globally acknowledged for its trustworthy custodial services," the bank statement read. It was also affirmed that DBS would support major cryptos such as Bitcoin (BTC), Bitcoin Cash (BCH), Ethereum Classic (ETC) and ETH.
DBS Bank's crypto arm has seen impressive growth since it started operating. In 2022, DBS saw a quadrupling of Bitcoin purchases via the bank's digital exchange platform, and the total number of trades more than doubled from April to June of the same year.
By 2023, DBS reported an 80% expansion in Bitcoin trading volume, attributing this increase to the krypto market crashes in 2022. In July 2023, DBS Bank initiated a digital yuan transaction tool and processed its initial transaction for corporate clients. DBS Bank China, its subsidiary in the country, announced the roll-out of its e-CNY merchant solution, enabling businesses to accept payments using the central bank digital currency (CBDC).
Published At
5/30/2024 1:29:55 PM
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