Denmark-based Danske Bank will now allow customers to invest in cryptocurrency-linked products tied to Bitcoin, marking a shift for Denmark’s largest lender after years of resistance to the asset class.
The bank said customers using Danske eBanking and Danske Mobile Banking can now gain exposure through exchange traded products, or ETPs, that track the performance of Bitcoin or Ethereum. The offering includes three products at launch, with two linked to Bitcoin and one linked to Ethereum.
Danske Bank framed the move as a response to growing customer demand for access to digital asset markets through traditional financial channels. The bank said the products are intended for customers who trade through its platform without receiving investment advice.
Kerstin Lysholm, Head of Investment Products & Offering at Danske Bank, said the lender has seen a rising number of enquiries from customers who want cryptocurrency exposure as part of their portfolios.
She pointed to stronger regulation across Europe, including the EU’s Markets in Crypto-Assets Regulation, as a factor that has increased confidence in the sector.
The ETP structure allows customers to invest without holding Bitcoin or Ethereum directly, removing the need for digital wallets and private key storage. The group said this provides a simpler route for investors while reducing operational risks linked to self-custody.
The bank also highlighted that the selected products come from established providers such as BlackRock and WisdomTree.
The bank said the ETPs fall under MiFID II regulations, which require investor protection measures and transparency around costs.
Before customers can trade the products, Danske Bank will require a suitability assessment. Investors must answer questions designed to confirm they understand the risks and characteristics of cryptocurrency-linked investments.
Crypto reversal for Danske Bank
The decision marks a reversal from Danske Bank’s earlier stance. In 2018 the lender refused to support cryptocurrency trading and warned customers against investing in digital assets, maintaining an internal restriction as recently as 2021, according to Decrypt.
Lysholm said the new access should not be interpreted as an endorsement of cryptocurrencies, but as a way to meet customer interest within a regulated framework while maintaining strong warnings about risk.
Despite offering access, the bank stressed that it does not view cryptocurrencies as part of a long-term portfolio strategy.
The bank said it does not provide advisory services for these products and described them as opportunistic investments that carry the potential for significant losses.
Source: https://bitcoinmagazine.com/news/danske-bank-opens-retail-bitcoin-access
