Singapore's Largest Bank Holds ETH Worth IDR 10.5 Trillion

Singapore's Largest Bank Holds ETH Worth IDR 10.5 Trillion

An address allegedly linked to DBS, the largest bank in Singapore, reveals that the institution currently holds 173,388 Ether (ETH) valued at approximately USD 649.8 million, or IDR 10.5 trillion.

According to Nansen data, this total holding positions DBS as one of the Ethereum whales. The bank is estimated to have earned more than USD 200 million from its ETH holdings.

DBS Wallet Address Source: Nansen

However, a DBS spokesperson denied that the bank is a whale, stating, "we do not have this position on the bank's books."

Speculation on Investor Assets

Some members of the crypto community speculate that the ETH held by DBS might come from the DBS digital exchange for accredited investors, i.e., individuals or entities meeting specific criteria set by financial authorities.

X user Kirby O. commented, "DBS has a digital exchange for accredited investors that has been launched," and suggested that "the ETH is likely held on behalf of these investors and not as a bank investment."
On the other hand, Nansen analyst Edward Wilson believes that the address is related to DBS, stating the information comes from a reliable source. He suspects that DBS has the private key for the wallet, making it likely part of the bank’s custodial services.
"This might be similar to how we see institutions, whether crypto-native like Binance or Coinbase, or non-crypto institutions, holding digital assets for their clients. These institutions can act as custodians and are responsible for managing the security of the funds," Wilson said, as quoted by Decrypt.

DBS's Track Record in the Crypto World

DBS has a long history as an early adopter of crypto. In December 2020, DBS became the first bank in Asia to launch its own digital exchange, the DBS Digital Exchange (DDEx).
DDEx allows institutional and accredited investors to enter a fully integrated ecosystem for tokenization, trading, and custody of digital assets, including cryptocurrencies.
Additionally, in July 2023, DBS's subsidiary, DBS Bank China, launched a digital yuan (e-CNY) transaction tool that enables businesses to collect customer payments in e-CNY and automatically settle them directly into fiat bank accounts.

Conclusion

DBS, Singapore's largest bank, is speculated to hold a significant amount of Ether (ETH), positioning it as a notable player in the cryptocurrency market. Despite denials from a DBS spokesperson about the bank's direct involvement, analysts suggest that the ETH might be held on behalf of accredited investors through the bank's digital exchange. This aligns with DBS's established history of embracing digital assets, evidenced by the launch of its DBS Digital Exchange in 2020 and the recent introduction of a digital yuan transaction tool. These developments highlight DBS's proactive approach in integrating cryptocurrency into its financial services.

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*Disclaimer:

This content aims to enrich reader information. Always conduct independent research and use disposable income before investing. All buying, selling, and crypto asset investment activities are the reader's responsibility.