Danske Bank has begun offering Bitcoin and Ether ETPs to its retail customers. This move comes eight years after the bank banned its cryptocurrency services, despite high user demand.
Danske Bank has begun its foray into the crypto world with the initial launch of three ETPs: two that track Bitcoin’s performance and one linked to Ethereum. The products, issued by BlackRock and WisdomTree, will be available for purchase and sale through the bank’s eBanking and Mobile Banking platforms. The offering is aimed exclusively at self-directed investors who operate without financial advice from the bank.
Access is not automatic. Before trading, clients must pass a suitability test designed to verify they have the necessary experience and knowledge to understand both the operation and specific risks of cryptocurrency ETPs. Furthermore, the bank cautioned that certain operational limitations may remain in place while internal reviews related to investor protection continue.
A prudent approach by Danske Bank in a controlled environment
The decision comes within a more defined regulatory context, which Danske Bank linked to the progress of the European Markets in Cryptoassets Regulation (MiCA), which has helped establish clearer standards for the sector. It also highlighted that the selected ETPs are subject to MiFID II regulations, which strengthens requirements for transparency, cost disclosure, and investor protection.
However, the tone of the statement was deliberately cautious. The bank classified cryptocurrency investments as “very high risk” and emphasized that they can generate significant losses. It also made it clear that offering access to these instruments does not equate to endorsing the asset class as a long-term strategic investment.
From an operational perspective, the ETP structure offers a significant advantage for many users: it eliminates the need to manage wallets, private keys, or direct custody of crypto assets. Instead, investors access exposure through a regulated vehicle with trading mechanisms similar to those of other listed instruments, integrated into the traditional banking infrastructure.
Looking ahead, this initiative could expand retail access to digital assets within the conventional financial channel, potentially impacting the liquidity of cryptocurrency-linked ETPs. However, repeated risk warnings make it clear that, at least for now, the bank prioritizes caution over active promotion, positioning itself as a regulated facilitator rather than a promoter of the asset itself.
