Swiss digital-asset bank Sygnum has rolled out a new lending product, MultiSYG, that uses multi-signature wallets to hold bitcoin collateral rather than leaving full custody with the bank. The product is developed in partnership with multi-signature lending specialist Debifi, and is intended for clients seeking liquidity without ceding exclusive control over their coins.
Under the MultiSYG arrangement, each client’s bitcoin is stored in a dedicated wallet that is segregated on-chain. Keys for each wallet are distributed among three parties: the client, Sygnum Bank, and independent institutional keyholders. The Bitcoin network enforces the multi-signature requirement by rejecting any transaction that does not carry the required number of signatures.
Sygnum and Debifi note that a lost key does not render funds permanently unreachable - the structure allows key recovery through the remaining keyholders. The firm describes client assets as held off Sygnum’s balance sheet and bankruptcy-remote under Swiss banking law.
Executives position MultiSYG as a direct evolution of Sygnum’s regulated lending business. Iulian Zanoaga, Deputy Head Credit & Lending at Sygnum, said MultiSYG "builds on our established regulated lending business" and that adding distributed, multi-signature security is a logical next step as more holders look to keep their Bitcoin secure while accessing liquidity.
"Adding distributed, multi-signature security is a natural next step as more holders want to secure their Bitcoin and access liquidity at the same time." - Iulian Zanoaga, Deputy Head Credit & Lending at Sygnum
Sygnum reports that more than one in five of its clients now use Lombard loans. By volume, bitcoin constitutes over 80% of pledged collateral, up from 63% in 2023. The company attributes part of that shift to a reduction in bitcoin’s one-year volatility - roughly halving to about 40% from 80% in 2021 - which it cites as one factor behind increased use as collateral.
Recent, high-profile security incidents have also been cited by the firms as a driver of demand for arrangements that let holders unlock liquidity without selling holdings or handing unilateral control to a single custodian. The multi-signature design aims to address those concerns by spreading control across multiple, independent keyholders.
Sygnum and Debifi initially launched bitcoin-backed lending together in 2025. The new MultiSYG product represents the firms' continuation of that collaboration with an emphasis on segregated custody and distributed control.
From a market perspective, the product sits at the intersection of crypto custody, regulated lending and institutional custody practices. By keeping collateral off the bank’s balance sheet and structuring wallets with distributed keys, Sygnum positions the product to appeal to clients prioritizing both regulatory clarity and mitigations against single-point custody risk.
While the offering targets holders seeking flexibility and security, the firms emphasize that the Bitcoin network’s signature requirements remain the technical gatekeeper for any transaction from these wallets.