British multinational Standard Chartered is reportedly planning to set up a prime brokerage for crypto trading.
Bloomberg quotes people familiar with the matter reports that the banking giant with total assets of $849 billion will operate the new company within its wholly-owned venture capital unit SC Ventures.
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The sources say discussions are still at an early stage and it is not yet clear when the service will launch.
Last month, SC Ventures announced in a after on professional networking platform LinkedIn that it is developing a digital asset business called Project37C to meet growing institutional demand for digital asset capabilities. The Singapore-based financial services provider did not name an external partner for the joint venture.
“This joint venture will complement the broader Standard Chartered digital asset ecosystem, which includes custody, tokenization and market access, and aims to bring institutional-grade innovation to this rapidly evolving space.”
The report says that housing the new company within SC Ventures could help Standard Chartered avoid the strict capital requirements for digital assets currently imposed on banks.
Under the Basel III rules for the international banking sector, banks face a risk premium of 1,250% for exposure to unbacked crypto assets such as Bitcoin (BTC) and Ether (ETH).
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