Sygnum bank, a cryptocurrency-friendly bank and one of the world’s first digital asset banks has added the Cardano blockchain’s native coin, ADA to its staking portfolio.
In a special announcement on Tuesday, the firm said that clients can now stake Cardano from their current wallets and receive staking rewards. Sygnum already enables staking on Ethereum, Internet Computer, and Tezos.
Institutional-grade security is ensured for Sygnum’s staking services with segregated wallets, secure private key management, and multi-layer security architecture, which are completely integrated with its banking platform.
Staking is the procedure of taking part in the PoS blockchain’s transaction validation in exchange for stake rewards. PoS blockchains, as opposed to proof-of-work networks like Bitcoin (BTC), depend on users locking up their money rather than mining activities to maintain a network.
Sygnum, a significant bank that is regulated in Switzerland, introduced cryptocurrency staking around two years ago launching Tezos staking in November 2020. In July 2021, Sygnum also declared that it would make Ethereum 2.0 staking available on its network.
Thomas Eichenberger, Head of Business Units at Sygnum Bank, commented on the news and said:
“Demand for the capacity to earn rewards with upside from the underlying protocols also continues to rise as institutional adoption of digital assets ramps up. Our clients can choose from a variety of investment choices with Sygnum’s bank-grade staking solution, which now includes Cardano, and is supported by the safety and assurance of a licensed bank.”
The Value of Sygnum Staking Service to Cardano users
It is worth noting that Sygnum provides one of the best cryptocurrency staking services. The banking infrastructure of Sygnum is completely connected with its staking service. In addition, through segregated wallets, robust private key management, and multi-layer security infrastructure, users’ security is ensured.
The Cardano Foundation’s CEO, Frederik Gregaard, expressed excitement over the development and welcomed Sygnum users to the Cardano ecosystem.
According to Gregaard, With this new option, Sygnum’s customers may take part in the firm’s ecosystem and enjoy risk-free staking without having to transfer or lock their assets. Additionally, Cardano’s cutting-edge architecture offers ADA-holders a distinctive experience for retail and institutional clients. He also noted that users’ ADA is always under their control.
In the meantime, Sygnum became the first regulated bank to provide its customers with Ethereum staking. The action implies that Sygnum is dedicated to offering its users full exposure to the emerging asset class and is well aware of the potential of cryptocurrencies.