Standard Chartered Bank, one of the leading global financial institutions headquartered in the United Kingdom, is preparing to make a significant move into the crypto trading market. The bank is set to launch a dedicated platform for spot traders, offering services for Bitcoin (BTC) and Ethereum (ETH). This initiative will mark a historic milestone, positioning Standard Chartered as the first major financial institution to provide Bitcoin and Ether spot trading services.
Setting New Standards in the Financial Industry’s Crypto Integration
According to a Bloomberg report, the trading desk for Bitcoin and Ethereum is nearing completion and is expected to debut soon. The new platform will be operated from London, integrating into the bank’s FX trading unit known as WFX. This move is a groundbreaking development, particularly because other banking giants like Goldman Sachs have only been offering crypto derivatives services since 2022. These institutions have struggled to expand into the spot market due to stringent regulations imposed by the Basel Committee on Banking Supervision.
The Basel Committee’s regulatory measures require banks to apply a 1,250% risk weighting to any unhedged crypto exposure, making it challenging for firms to profit from their crypto ventures. However, Standard Chartered has been proactive in working with regulators to ensure compliance and meet the growing demand from institutional clients.
“We have been working closely with our regulators to support demand from our institutional clients to trade Bitcoin and Ethereum, in line with our strategy to support clients across the wider digital asset ecosystem, from access and custody to tokenization and interoperability,”
a spokesperson from Standard Chartered told Bloomberg.
Standard Chartered and the Crypto Ecosystem
Standard Chartered’s engagement with the crypto economy is not new. In November 2023, the bank launched a blockchain tokenization platform called Libeara through its venture capital unit, SC Ventures. This platform is part of a broader effort to help the Singaporean government explore tokenized government bonds using fiat currency.
Additionally, Standard Chartered has made strategic investments in crypto-native companies like Zodia Custody and Zodia Markets, both of which offer custody services and over-the-counter trading to institutional customers. The bank owns significant stakes in these companies, highlighting its commitment to the crypto space.
Last year, Standard Chartered announced plans to launch crypto custody services for institutional investors in Dubai, aimed at safeguarding their Bitcoin and Ether purchases. In May 2024, the bank completed a Euro-denominated cross-border transaction between Hong Kong and Singapore on Partior, a blockchain-based global unified infrastructure market. This made Standard Chartered the first Euro settlement bank to go live on the platform, following its strategic investment in Partior in November 2022.
Standard Chartered’s Groundbreaking Crypto Trading Desk
The launch of Standard Chartered’s crypto trading desk marks a significant milestone for both the bank and the financial industry, as it becomes the first major institution to offer Bitcoin and Ethereum spot trading services. This strategic move demonstrates the bank’s commitment to innovation and the growing integration of cryptocurrencies in traditional finance. By working closely with regulators, Standard Chartered ensures a regulated, secure, and efficient platform for institutional clients, attracting investors keen on diversifying their portfolios. This development not only positions the bank as a leader in digital asset adoption but also paves the way for broader acceptance of cryptocurrencies in the global financial landscape.
