A crypto wallet reportedly belonging to DBS Bank holds over 170,000 Ether, worth nearly $650 million, according to blockchain analysis firm Nansen. Nansen flagged the Ethereum “whale” on May 30, identifying it as DBS, one of Singapore’s largest banks. The firm estimates that the wallet has already made a $200 million profit from holding Ether.
However, DBS denies this. A DBS Bank spokesperson told Cointelegraph, “DBS does not have this position on our books.” When asked if the bank’s digital exchange or custody solutions own or hold the wallet’s private keys, DBS declined to comment.
Speculation arose that the ETH might belong to DBS’ digital exchange for accredited investors. Some believe the ETH could be assets held on behalf of investors rather than the bank itself. Nansen analyst Edward Wilson suggested that DBS likely owns the private key as part of its custody solution, similar to how exchanges like Binance or Coinbase manage funds for users.
In 2020, DBS Bank launched a crypto trading and custody service, stating that all digital assets would be kept at DBS Bank, known for its custodial services. They supported major cryptocurrencies, including Bitcoin, Bitcoin Cash, Ethereum Classic, and Ethereum.
Since then, DBS Bank’s crypto division has seen significant growth. In 2022, Bitcoin trading on the bank’s digital exchange quadrupled, and in 2023, Bitcoin trading volume grew by 80%, partly due to the crypto collapses in 2022. Additionally, DBS Bank China launched an e-CNY merchant solution, allowing businesses to receive payments using China’s digital currency.
featured image from: cointelegraph.com