Core Insights - Standard Chartered is planning to establish a crypto prime brokerage within its SC Ventures unit, aiming to enhance its presence in the digital assets space as global banks intensify competition for institutional crypto flows [1][3] Group 1: Strategic Initiatives - The new crypto prime brokerage will be part of SC Ventures, which has already invested in digital asset infrastructure, including Zodia Custody and Zodia Markets [3] - Standard Chartered became the first global systemically important bank to offer spot crypto trading to institutional clients in July [3] - SC Ventures is also developing Project37C, a digital-asset joint venture that will provide custody, tokenization, and market access, indicating overlapping capabilities with the planned prime brokerage [4] Group 2: Industry Context - Major banks are increasingly moving into digital assets despite ongoing regulatory discussions about crypto capital rules [5] - U.S. spot crypto ETFs currently manage approximately $140 billion in assets, highlighting the growing institutional interest in the crypto market [6] - The establishment of prime brokerages is viewed as essential infrastructure for the next phase of growth in the crypto sector [6] Group 3: Competitive Landscape - Other banks, such as JPMorgan Chase and Morgan Stanley, are also exploring crypto trading and investment products, indicating a competitive environment among financial institutions [5] - Standard Chartered's move reflects a broader trend where global banks are aiming to compete across the entire crypto market stack, not just peripheral services [7] Group 4: Regional Developments - Standard Chartered, along with Bank Malaysia and Capital A, is exploring the development of a ringgit-pegged stablecoin, further solidifying its commitment to the digital asset ecosystem in Malaysia [8]
Standard Chartered to Launch Crypto Prime Brokerage Under Venture Capital Arm