Swiss Bank Sygnum to Launch Bitcoin-Backed Loan Platform With Multi-Sig Wallet Control

Core Insights - Swiss digital asset bank Sygnum Bank has partnered with bitcoin lending startup Debifi to launch MultiSYG, a bank-backed loan platform that allows borrowers to retain control of their BTC [1][2]. Group 1: Product Offering - MultiSYG is set to launch in the first half of 2026, targeting institutions and high-net-worth individuals seeking bank-grade loan services without the risks associated with rehypothecation [2]. - The platform allows borrowers to deposit BTC into a multi-signature wallet controlled by Sygnum, the borrower, and independent signers, requiring three signatures for any collateral movement [5]. Group 2: Market Context - The initiative highlights the increasing demand for digital asset-backed financial products, moving beyond previous failed crypto lenders like BlockFi and Celsius [3]. - Institutional players are looking for more sophisticated lending structures that mitigate risks associated with centralized platforms [3]. Group 3: Borrower Benefits - Borrowers can maintain cryptographic proof of their holdings and partial control of their BTC while accessing regulated banking products and services [6]. - The model combines the advantages of holding one's own keys with the benefits of bank-grade terms in pricing, drawdown flexibility, and loan duration [6].