Swiss-based Sygnum Bank has expanded its institutional digital asset offering to include Sui blockchain custody, alongside spot and derivatives trading. The addition marks a significant step in bridging regulated finance with emerging blockchain networks.
Staking services for SUI are expected to launch in the coming weeks, with SUI-backed Lombard loans scheduled for the fourth quarter. All services are structured off the bank’s balance sheet, ensuring bankruptcy protection for client assets.
“Broadening institutional access to the Sui ecosystem further expands Sui’s reach to the global institutional investor community,” — Christian Thompson, Managing Director, Sui Foundation.
Why regulated custody matters now
Custody is a cornerstone for institutional participation in digital assets. Sygnum’s bank-grade, multi-custody platform ensures client holdings are segregated from its corporate balance sheet, providing strong counterparty protections in Switzerland’s well-established regulatory environment.
“This development takes Sui blockchain custody from concept to tangible pathway,” — Mathias Imbach, co-founder and CEO, Sygnum Bank. “Our unique understanding of digital assets sits at the intersection of the rapidly converging digital asset and regulated financial ecosystems.”
Markets reacted positively. SUI climbed roughly 4% to a range of $3.82–$3.93 following the announcement, while trading volumes more than doubled—an early signal of growing institutional interest.
Upcoming features: staking and SUI-backed loans
Sygnum’s roadmap includes staking options for SUI, allowing clients to earn yield without relinquishing control of their tokens, and Lombard loans that use SUI as collateral to provide liquidity without triggering a sale.
The staking launch is imminent, and SUI-collateralized loans are planned for Q4. Both are designed to enhance the utility of Sui blockchain custody by giving institutional clients tools to generate returns and unlock capital efficiently.
With regulated operations spanning Switzerland, Singapore, Abu Dhabi, Luxembourg, and Liechtenstein, Sygnum is positioning itself as a global access point for compliant Sui ecosystem services.
Industry impact and broader adoption
The integration of Sui into a regulated banking framework reflects a wider trend: blockchain projects seeking scalability and legitimacy through traditional financial channels.
Built by Mysten Labs—founded by former Meta engineers—Sui offers parallel execution and high throughput to support decentralized finance, gaming, real-world asset tokenization, instant payments, and emerging BTCfi applications.
“This is more than just custody,” said Lara Weiss, fintech researcher at the University of Zurich. “By linking Sui blockchain custody with yield products and loans under a regulated umbrella, Sygnum is setting a template for how layer-1 blockchains can engage institutional capital.”
Mill City Ventures joins the Sui push
The announcement coincides with Nasdaq-listed Mill City Ventures III ramping up its SUI exposure. Earlier this month, the firm secured a $500 million equity line from Alliance Global Partners, acquiring 76.2 million SUI tokens valued at $276 million.
Mill City plans to position itself as a specialized SUI treasury, focusing on low-latency, scalable blockchain infrastructure for AI and gaming applications. Remaining funds will support its short-term lending operations.
As both Sygnum and Mill City deepen their involvement, the case for regulated, institution-grade Sui blockchain custody strengthens—potentially paving the way for greater adoption in the months ahead.