anca dello Stato del Cantone Ticino, or BancaStato, is entering cryptocurrency trading. The Ticino-based cantonal bank has integrated digital asset services from Swiss crypto bank Sygnum into its existing Avaloq banking infrastructure, the companies announced Thursday.

At launch, clients will be able to buy, hold and sell Bitcoin (BTC), Ethereum (ETH), Litecoin (LTC) and Solana (SOL) directly through BancaStato’s existing web and mobile banking applications.

The setup means clients do not need to use a separate platform for their crypto investments and can view and manage traditional and digital assets within the same banking environment.

Sygnum Handles Trading and Custody

BancaStato has connected Sygnum’s application programming interface, or API, directly to its Avaloq core banking system and digital banking channels.

Buy and sell orders are executed through Sygnum’s B2B infrastructure. According to the companies, the setup does not require a separate order management system, reducing operational complexity and allowing trading functionality to be adapted to the bank’s risk management requirements.

Sygnum also provides custody for clients’ digital assets through its institutional-grade infrastructure.

«The seamless integration of traditional investment solutions – and now digital assets – further strengthens our group’s future-ready offering,» said Curzio De Gottardi, Head of the Products and Services Division and Vice-Chairman of the Executive Board at BancaStato.

Another Cantonal Bank Joins Sygnum Network

The partnership further expands Sygnum’s role as a digital asset infrastructure provider to traditional financial institutions.

Its B2B network now includes more than 25 banks and international financial institutions, including Zuger Kantonalbank, PostFinance, VZ VermögensZentrum, Bordier & Cie and Bergos.

According to Sygnum, BancaStato is the first bank operating within Avaloq’s Software-as-a-Service environment to enable clients to buy, hold and sell cryptocurrencies through a direct API connection to Sygnum from within its existing e-banking channels.

«This demonstrates the growing demand for Sygnum’s regulated, API-based digital asset services that can be integrated directly into existing core banking systems,» said Fritz Jost, Chief B2B Officer at Sygnum.

Crypto Moves Closer to Mainstream Banking

The move also illustrates a broader shift in Swiss banking, as digital assets become increasingly integrated into the infrastructure and client interfaces of traditional financial institutions.

Rather than building their own cryptocurrency trading and custody infrastructure, banks can connect specialized providers such as Sygnum to their existing core banking systems. For clients, this increasingly brings traditional investments and digital assets together within a single banking relationship.

Avaloq sees growing momentum behind this model. Christian Haux, Managing Director for Switzerland and Liechtenstein at Avaloq, said integrated infrastructure allows banks to respond more quickly to changing investor expectations while keeping services on a unified platform.

Through its partner banks, Sygnum says its digital asset services are now accessible to more than one-third of the Swiss population.

The group is also expanding its reach beyond Switzerland. At the end of June, Sygnum Europe received a Crypto-Asset Service Provider license from Liechtenstein’s Financial Market Authority under the European Union’s Markets in Crypto-Assets Regulation, or MiCAR.

The authorization enables Sygnum to further extend its regulated digital asset infrastructure offering to banks across the European market.