Sygnum Expands Institutional SUI Custody and Trading

Sygnum launches regulated custody, trading, staking, and loans for SUI, advancing institutional blockchain adoption.

Sygnum Expands Institutional Access to SUI With Regulated Custody and Trading

Swiss digital asset bank Sygnum has expanded its institutional-grade digital asset services by integrating custody, trading, and lending solutions for SUI, the native token of the Sui Blockchain. This development strengthens the bridge between traditional finance (TradFi) and decentralized finance (DeFi), offering institutions secure, regulated access to one of the industry’s fastest-growing Layer-1 networks.

Institutional-Grade Custody for SUI

Sui custody refers to the secure storage and management of SUI tokens using institutional-level safeguards and compliance measures. For professional investors, custody is a critical foundation for blockchain engagement, providing the infrastructure necessary to manage digital assets while meeting stringent regulatory and security requirements.

Sygnum’s custody service offers:

• Bankruptcy-remote asset structuring — ensuring client assets remain off the bank’s balance sheet for maximum protection.
• Multi-jurisdictional compliance — with banking and digital asset licenses in Switzerland, Singapore, Abu Dhabi, Luxembourg, and Liechtenstein.
• Secure, regulated access — aligning with global standards such as Switzerland’s FINMA oversight and EU’s MiCA framework.

Expanded Institutional Offerings

In addition to custody, Sygnum is introducing:

• Spot and derivatives trading for SUI, providing institutions with hedging and speculative opportunities.
• Staking services, expected to launch within weeks, with industry-estimated yields between 6–12% annually.
• Collateral-backed Lombard loans against SUI holdings, scheduled for Q4 2025, enabling liquidity without asset liquidation.

These offerings position Sygnum as a comprehensive institutional gateway to the Sui ecosystem.

Why Sui Appeals to Institutions

Developed by Mysten Labs, a team of former Meta engineers, the Sui blockchain is engineered to solve scalability and efficiency challenges common to many Layer-1 networks. Notable features include:

• Parallel transaction processing for high throughput and low latency.
• AI-compatible smart contracts, enabling advanced DeFi, gaming, and tokenized real-world asset use cases.
• Robust security through advanced cryptographic techniques and reliable consensus mechanisms.

This technical foundation makes Sui particularly attractive for institutional applications, from instant payments and DeFi participation to large-scale asset tokenization.

Growing Institutional Adoption

The integration of Sui custody into regulated banking platforms like Sygnum’s reflects rising institutional interest in blockchain assets. Key adoption drivers include:

• Large-scale treasury allocations, such as the $450 million initiative involving Mill City Ventures and Galaxy Digital.
• ETF inclusion, with SUI featuring in applications from Canary Capital and 21Shares.
• Expanding DeFi and tokenization markets, which benefit from Sui’s high throughput and composable smart contract environment.

Competitive Edge and Outlook

While competition among Layer-1 blockchains is intense, Sui’s combination of scalability, security, and regulatory-ready custody solutions gives it a distinctive advantage. The Sygnum partnership not only enhances institutional access but also reinforces Sui’s positioning as a network capable of handling high-volume, high-value financial activity.

Challenges remain — particularly around scaling capacity as adoption grows and competing with other advanced blockchain infrastructures. However, with the continued collaboration between Sygnum and the Sui Foundation, Sui custody is poised to become a key pillar in the integration of TradFi and DeFi.

Conclusion

Sygnum’s expansion into SUI custody, trading, staking, and lending represents a significant milestone for institutional blockchain adoption. By combining the technical strengths of the Sui network with the compliance and security standards of a regulated bank, this partnership sets a benchmark for how traditional finance can safely and effectively engage with next-generation blockchain ecosystems. As adoption accelerates, Sui custody is likely to remain a driving force in shaping the institutional digital asset landscape.

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