UBS Enters the Crypto Market: How Traditional Financial Giants Are Opening a New Chapter in Bitcoin and Ethereum Trading

On February 4, 2026, UBS Group, one of the world’s largest wealth management firms, announced during its Q4 earnings call that it is building core infrastructure plans to provide cryptocurrency trading access for individual clients and exploring tokenized deposit solutions for corporate clients. This move by the Swiss banking giant marks a fundamental shift in the traditional financial world’s attitude toward digital assets. Managing over $7 trillion in assets, UBS’s decisions are often seen as a barometer for the global wealth management industry.

Strategic Shift: From Cautious Observation to Proactive Deployment

UBS, the financial giant managing trillions of dollars, has long maintained a cautious or even skeptical stance toward cryptocurrencies. As early as 2017, UBS’s Chief Global Economist Paul Donovan publicly questioned Bitcoin’s function as a store of value. The company’s position began to change in 2023 when they opened cryptocurrency-related ETF trading to high-net-worth clients in Hong Kong.

Today, UBS is actively advancing more direct cryptocurrency access services. CEO Sergio Ermotti explicitly stated, “We are building core infrastructure to explore targeted services, from crypto access for individual clients to tokenized deposit solutions for corporate clients.” Behind this shift are customer demand and market competition.

Gradual Approach: UBS’s “Fast Follower” Strategy

Unlike aggressive market pioneers, UBS has adopted a more cautious “fast follower” approach. Ermotti emphasized that UBS will not act as a “trailblazer” in blockchain technology applications but will choose a more steady development path.

UBS plans to roll out these initiatives gradually over the next three to five years, initially allowing certain private banking clients in Switzerland to buy and sell Bitcoin and Ethereum. This limited launch enables the bank to test systems and refine processes before broader promotion.

Bloomberg reports that UBS is vetting external partners to support key functions such as trading, custody, and compliance. These discussions have been ongoing for months, with partners likely responsible for technical tasks, while UBS maintains its core client relationships.

Market Drivers: Customer Demand and Industry Trends Resonance

UBS’s actions reflect the growing demand among affluent clients for digital assets. As cryptocurrencies become more integrated into the financial system, high-net-worth investors seek safer ways to hold crypto assets through trusted institutions. Meanwhile, competitive pressures from Wall Street firms cannot be ignored. Institutions like JPMorgan and Morgan Stanley are expanding digital asset services in Washington, D.C., under more favorable regulatory environments. UBS’s move is partly in response to these competitors’ expansion.

Other financial institutions such as Barclays, Morgan Stanley, and Standard Chartered have recently outlined plans to expand crypto trading and prime brokerage services for institutional and high-net-worth clients. This collective trend indicates that cryptocurrencies are moving from the fringe into mainstream financial services.

Market Focus: Bitcoin and Ethereum Performance

UBS’s initial focus will be on Bitcoin and Ethereum, the two largest and most liquid cryptocurrencies. This strategy meets core client needs while reducing operational and reputational risks.

As more traditional financial institutions enter the crypto space, market data on related assets is worth monitoring. Here are the latest market figures for Bitcoin and Ethereum:

Industry forecast data projects Bitcoin’s average price in 2026 at approximately $78,559.7, with potential fluctuations between $58,134.17 and $85,630.07. By 2031, Bitcoin could reach around $210,873.2, representing a potential return of +108.00% compared to current levels.

Ethereum’s projected average price in 2026 is about $2,088.27, with possible fluctuations between $1,399.14 and $3,007.1. By 2031, Ethereum could be valued at approximately $7,074.38, with a potential return of +153.00%.

Infrastructure Exploration: From Trading to Tokenization

In addition to providing crypto trading access for individual clients, UBS is actively exploring broader blockchain applications. The “tokenized deposit solutions” Ermotti mentioned is one such area.

UBS has already conducted practical experiments in blockchain. Previously, the bank ran a pilot project for tokenized assets based on Ethereum and collaborated with SWIFT and Chainlink on a tokenized fund settlement trial. In payments, UBS partnered with Ant Group to test tokenized deposits via its UBS Digital Cash platform in Singapore, enabling real-time cross-border fund flows. This pilot aims to bring bank deposit claims onto a permissioned ledger.

UBS is also an early design partner for Stripe’s stablecoin blockchain Tempo. These diverse explorations indicate that UBS is building a comprehensive digital asset service ecosystem.

Regulatory Considerations: Steady Progress within Compliance Frameworks

As a globally systemically important bank, UBS’s new ventures must strictly adhere to regulatory requirements. Ermotti emphasized that UBS will cautiously roll out digital asset services under the strict Basel III capital rules. Basel III imposes higher capital requirements on banks holding crypto assets, which remains a major obstacle for many traditional banks venturing into crypto trading.

UBS Chairman Colm Kelleher stated in January 2023, “We are seeking a regulatory framework that can accommodate this for our clients.” The U.S. has been leading calls for revisions to these standards, and the Basel Committee announced in November 2025 that it would accelerate review of rules regarding banks’ crypto holdings. As regulatory frameworks mature, traditional financial institutions like UBS will have greater room to advance their digital asset strategies.

Future Outlook: Integrating Crypto Assets into Mainstream Finance

As major wealth management platforms add cryptocurrency trading services, they can bring more stable liquidity and a more traditional investor base to this asset class. UBS’s move signifies the official entry of cryptocurrencies into mainstream financial services. The bank plans to initially launch services in Switzerland, with potential expansion into Asia-Pacific and U.S. markets. This development path is closely tied to evolving regulatory environments and customer demand.

For the industry as a whole, true competition is shifting from technological innovation to infrastructure—who can provide scalable, secure, and clearly regulated crypto services at scale. Over time, this could alter the relative position of digital assets compared to traditional stores of value like gold.

UBS’s cautious approach reflects the typical attitude of traditional financial giants toward digital assets: a desire for innovation balanced with risk caution. Its stock dropped 5.8% on the day of announcing the crypto plans, indicating market reactions are complex. As UBS gradually rolls out services over the next three to five years, the boundary between crypto and traditional finance is becoming increasingly blurred. Real-time Bitcoin prices will become commonplace on bank trading terminals; private bankers will discuss Ethereum holdings as a standard part of asset allocation. The crypto market is no longer just a playground for tech geeks and hedge funds but is rapidly becoming a standard component of global wealth management asset allocation.