UBS Group AG plans to make cryptocurrency investing available for some private banking clients, in what could become a significant move into digital assets for the world's largest wealth manager.
namThe Swiss banking giant, which oversaw some $4.7 trillion in wealth assets as of Sept. 30, is in the process of selecting partners for a crypto offering, people with knowledge of the matter said. Discussions have been ongoing for several months and UBS hasn't made a final decision on how to proceed, they said, asking not to be ed as the deliberations are private.
UBS would initially allow select clients of its private bank in Switzerland to buy and sell Bitcoin and Ether, one of the people said. The offering may then be rolled out in markets like the Asia-Pacific region and the US, according to the person.
Offering access to cryptocurrencies would mark a meaningful shift for UBS, which has long taken a cautious stance on virtual tokens. At the same time, Wall Street rivals like JPMorgan Chase & Co. and Morgan Stanley are expanding in digital assets after Donald Trump returned to the White House, putting pressure on UBS to follow suit.
UBS's push deeper into crypto comes in part in response to growing demand for digital assets from wealthy clients, one person said.
“As part of UBS's digital asset strategy, we actively monitor developments and explore initiatives that reflect client needs, regulatory developments, market trends and robust risk controls,” a UBS spokesperson said. “We recognize the importance of distributed ledger technology like blockchain, which underpins digital assets.”
Blockchain Efforts
Like many other global banks, UBS has until now focused digital-asset efforts on building blockchain-based infrastructure for things like tokenized funds and payments. Major lenders have been slower to expand into areas like crypto trading, in large part because of onerous capital rules under the Basel III framework.
The US has been leading calls to amend those standards. The Basel Committee said in November that it will accelerate a review of certain elements of its rules around banks' crypto holdings — potentially setting the stage for new initiatives among lenders.
UBS's deliberations also highlight the growing institutional involvement in crypto that's reshaping the sector. US-based crypto exchange-traded funds led by BlackRock Inc.'s iShares Bitcoin Trust have ballooned to oversee almost $140 billion in assets since they were first approved two years ago.
Morgan Stanley is partnering with cryptocurrency provider ZeroHash to let E*Trade clients trade popular tokens like Bitcoin, Ether and Solana starting in the first half of this year. JPMorgan is exploring crypto trading for institutional clients, Bloomberg reported in December.
The cryptocurrency trading business has been lucrative for some companies that have entered it. Robinhood Markets Inc. took in $626 million from crypto trading in 2024, more than triple its haul from equities, data compiled by Bloomberg show.
In November 2023, UBS made trading in crypto-linked ETFs available to wealthy clients in Hong Kong, joining competitors like HSBC Holdings Plc.
Ex-UBS Chairman Axel Weber, a former central banker, long maintained a bearish stance on cryptocurrencies. In late 2021 — shortly after Bitcoin had surged to a fresh record — he said the concept of anonymous payments “will not survive.”
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