Sygnum Bank Now Accepts Staked SOL as Collateral—Because Your Crypto Should Work Harder Than You Do

Swiss crypto bank Sygnum just greenlit staked Solana (SOL) as loan collateral—blurring the lines between yield farming and traditional finance.

Why it matters: Institutions can now leverage idle SOL holdings without unstaking, squeezing extra juice from their bags. Meanwhile, retail traders still get nickel-and-dimed on gas fees.

The fine print: This move follows Sygnum’s earlier embrace of Ethereum staking derivatives. Apparently, banks love crypto when it’s wrapped in regulatory bow ties.

Bottom line: The yield game evolves—but whether this legitimizes staking or just gives suits a new playground remains to be seen.

“By enabling staked Solana as collateral, we’re addressing a key client need to optimise yield while maintaining liquidity,” said Benedikt Koedel, Head of Credit and Lending at Sygnum Bank.

Sygnum claims that there is no co-mingling of client assets due to the full segregation of client positions on-chain.

Moreover, clients can utilize this new staking option to generate staking rewards on their SOL holdings through the bank’s custody and staking platforms. The staking service is available via Sygnum’s user interface, API integration, or client relationship managers.

Notable Institutional Demand Increase

The email sent to Cryptonews notes that the SOL addition comes amid growing institutional interest in Solana. This follows Solana futures exchange-traded fund (ETF) filings and spot ETF speculations.

Koedel added that the MOVE “builds on our proven track record in crypto-backed lending, recently demonstrated by our USD 50 million Bitcoin-backed syndicated loan tolast August.”

At the time of writing, SOL is trading at $170.28, following a 5.6% decrease over the past 24 hours, as the market recorded a downturn in general.

The coin’s price increased by 10% in a week, 29% in a month, and 18% in a year. SOL hit its all-time high of $293.31 in January 2025, dropping 42% since.

Furthermore, Thomas Brunner, Head of Custody and Staking at Sygnum Bank, commented on Solana, saying that it has “established itself as a leading LAYER 1 blockchain with significant adoption. As the second-largest staking token by staked market capitalisation, adding SOL staking capabilities was a natural evolution of our offering.”

Meanwhile, Sygnum’s existing Lombard loan collateral portfolio includes major coins like BTC, ETH, POL, and XRP. The team notes that Sygnum’s lending business has seen loan volumes double over the past 12 months. The increase comes as institutional demand for crypto-backed financing continues to rise, it argues.

Founded in 2017, Sygnum is a regulated digital asset bank with licenses in Switzerland, Singapore, Abu Dhabi, Luxembourg, and Liechtenstein. The company recently achieved unicorn status with more than a $1 billion valuation following a $58 million funding round.