LUGANO, SWITZERLAND — Swiss digital asset bank Sygnum Bank has teamed up with bitcoin lending startup Debifi to launch what they say is the first bank-backed lending platform that doesn’t require borrowers to give up full control of their BTC.
Dubbed MultiSYG and set to open in the first half of 2026, the offering will target high-net-worth institutions and individuals who want access to bank-quality loan services but are wary of rehypothecation, a practice common in traditional finance where lenders recycle customer collateral to back other deals.
The move underscores the growing market for digital asset financial products, which has evolved far beyond early and failed crypto lenders like BlockFi and Celsius. Institutional players are increasingly demanding more sophisticated structures, especially those that avoid the risk of single-point-of-failure that plagued centralized platforms in the last cycle.
“Borrowers should not need to blindly trust a custodian,” Debifi CEO Max Kei said in a statement, pointing to years of demand for non-custodial lending options.
Most banks that offer bitcoin-backed loans typically require full escrow, cutting off the borrower from their assets until repayment. With MultiSYG, potential borrowers can deposit BTC into a wallet controlled by five parties – Sygnum, the borrower and independent signatories – with any security move requiring three signatures. This model helps prevent rehypothecation and allows borrowers to verify the existence of their funds on the chain throughout the life of the loan.
“[This] combines the best of both worlds – the ability to hold your own keys while accessing regulated banking products and white-glove service,” said Pascal Eberle, Bitcoin@Sygnum and MultiSYG initiative leader at Sygnum Bank, in a statement. “Borrowers can benefit from bank-quality terms in pricing, drawdown flexibility and loan duration, while maintaining their partial control over their cryptographic holdings.”
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