SDX Web3 launches Institutional Custody Service for Digital Assets

SDX Web3 Services, the newly launched business unit from SIX Digital Exchange, is now live with its non-custodial Ethereum staking service. This service enables reliable and secure management of Ethereum validator nodes through a fully managed, API based infrastructure.

The service is tailored to institutional clients who need to scale their Ethereum staking capabilities. This new offering is a straightforward and secure way to launch new validators and generate yield from staking. SDX Web3 Services is perfectly positioned to facilitate access to Web3 activities for institutional clients as it draws on the experience of SIX in providing innovative, functionally rich, efficient, and secure capital markets technology. SDX Web3 Services is already signing its first client for this non-custodial staking service in the private wealth sector in Switzerland.

The Ethereum network is improving the security and stability of its blockchain by preparing an upgrade to a Proof of Stake consensus mechanism. Proof of Stake networks are an attractive alternative to Proof of Work as they do not require energy intensive processing to validate transactions. The recent successful testnet Merge events, and the planned upgrade in September 2022, have led to an increase in institutional demand for Ethereum staking.

According to Alex Smith, SDX Web3 Staking Product Lead, “The integration tools developed by SDX coupled with our experience operating in institutional markets, give our clients easy access to Ethereum staking capabilities with the highest security and reliability standards.”

Stephan Kunz, Head of SDX Web3, adds “The strong demand for our staking offering shows the institutional market’s readiness and need for secure and trusted services such as our Web3 offering. We are excited to announce further clients in the near future.”

About SDX Web3 Services

SDX Web3 is a newly founded business line focusing on supporting our clients’ Web3 activities. As part of SIX, SDX Web3 is subject to the Group’s high quality and security standards in providing institutional grade infrastructure services for which SIX and SDX are well known.

About SDX

SDX is licensed by Switzerland’s financial market regulator, FINMA, to operate an Exchange and a Central Securities Depository (CSD). SDX offers issuance, listing, trading, settlement, servicing, and custody of digital securities. SDX went live in Q4 2021, and continues to work with partners, its current members (UBS, Credit Suisse, Zürcher Kantonalbank, CM Equity) and future clients to promote and build a new market structure for digital assets globally.

About SIX

SIX operates and develops infrastructure services for the Swiss and Spanish Stock Exchanges, for Post-Trade Services, Banking Services and Financial Information with the aim of raising efficiency, quality, and innovative capacity across the entire value chain of the Swiss and Spanish financial centers. The company is owned by its users (120 banks). With a workforce of 3,685 employees and a presence in 20 countries, it generated operating income of CHF 1.5 billion and Group net profit of CHF 73.5 million in 2021.