Dukascopy revenue halved in the first half of 2021 to CHF 11.4 million
Geneva-based Retail FX broker Dukascopy Bank has reported its financials for the first-half period ending June 30, 2021. The group managed to achieve CHF 1.4 million ($1.5 million) in net profit compared to CHF 12.7 million for the same period in 2020.
The sluggish performance came as Dukascopy’s revenues from trading operations nearly halved from a year earlier. Specifically, the forex bank made CHF 11.4 million ($11.47 million) in H1 revenue, down 55 percent from CHF 25.4 million ($28 million) in 2020.
In terms of operating expenses, the figure was reported at CHF 10.08 million in the six months through June 2021. This is down 8 percent from nearly CHF 11 million in the first half of 2020.
Buoyed by intense trading activity on the back of Coronavirus-spurred volatility, Dukascopy turned record financial and operational metrics in 2020. Proceeds from trading operations also soared and was three times higher than the counterpart figures of 2019.
During the last four years, the Switzerland’s forex bank and broker substantially invested in diversifying its range of products. Besides its traditional core business, the trading activity, Dukascopy has developed issuance, custody and exchange infrastructure for cryptocurrencies as well as retail mobile banking services including instant payments and card operations. All such investments amounted to nearly CHF 6 million in revenues per year.
Meanwhile, Dukascopy has been taking steps towards strengthening its cryptocurrency offering, including allowing clients to deposit and withdraw funds in digital coins, as well as enabling free internal crypto-transfers between users of mobile banking. In 2020, it has become the first regulated bank to launch its own cryptocurrency – Dukascoin.
The bank and securities houses of Dukascopy Group are regulated in Switzerland, Latvia and Japan. The group offers multi-products (FX, bullion, CFD, binary options), desktop and mobile trading platforms together with a range of other financial services. This includes current accounts, guarantees, classical banking payments, instant payments via smartphones, and payment cards.
Earlier this week, Dukascopy warned against two fraudulent websites that have been falsely claiming affiliation with its authorized brand. The clone entities, operating through www.dukascopys.com and wap.dukasap.com, prompted action from the regulated company.
Dukascopy confirmed that it has no association whatsoever with the aforementioned domains and advised everyone to avoid it entirely.