Standard Chartered Bank has announced the launch of a platform for trading Bitcoin and Ethereum, marking a significant step in the financial world.
Introduction to Digital Asset Trading
Standard Chartered, the largest British financial conglomerate, has become the first systemically significant institution to launch regulated cryptocurrency trading with physical delivery. This initiative provides institutional clients, such as investment funds and asset managers, the opportunity to trade XBT/USD and ETH/USD pairs.
Features of Trading Operations
Trading is conducted via the standard FX interface at the bank’s UK division. For settlements, both third-party vaults and the bank's own custodial service, Zodia Custody, launched in 2020, are available. The bank also plans to add settlement of non-deliverable forward (NDF) contracts soon.
Shifts in Investor Preferences
According to data from The Block, Wintermute experts have observed a divergence in asset preferences between institutional and retail investors: highly capitalized cryptocurrencies like Bitcoin and Ethereum now account for about 70% of institutional portfolios, whereas for retail investors, the figure stands at 37%.
The launch of Bitcoin and Ethereum trading for institutional clients by Standard Chartered highlights the growing interest in digital assets at the organizational level and the changing preferences among investors.
