Standard Chartered’s Crypto Gambit: Will Bitcoin Save the Bank or Turn It Into a Digital Ghost? 🦑🚀

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Key Highlights

  • Standard Chartered is preparing to launch a crypto prime brokerage under its venture arm, SC Ventures, to serve institutional clients. Or, as Gogol might say, “a desperate dance with digital ghosts to avoid being buried by traditional finance.”
  • Global banks and asset managers are increasingly entering crypto, driven by rising institutional demand and ETF growth. Who needs stability when you can chase volatile coins and pretend they’re “the future”? 🚀
  • Major deals in crypto prime brokerage signal its growing role as the gateway for institutional crypto investment. Or, as the markets whisper: “Here lies the soul of capitalism, now digitized and tokenized.”

Standard Chartered is getting ready to launch a prime brokerage for cryptocurrency trading, a move that shows how seriously global banks are now taking digital assets. A prime brokerage is a service designed for large investors, offering support like asset safekeeping, lending, and funding so they can trade smoothly across different markets. 

The new business is expected to operate under the bank’s venture capital and innovation unit, SC Ventures. The talks are in early planning stages and no official launch date has been announced, according to sources familiar with the matter. Because nothing says “confidence” like pretending you’ve got a plan when you’re still wearing pajamas. 🤷♂️

Building on a crypto footprint

Standard Chartered has been actively involved in the world of digital assets. The bank supports Zodia Custody, which keeps cryptocurrencies safe for institutional clients, and Zodia Markets, a platform where professional investors can trade digital currencies. 

In July 2025, it became the first major global bank to let institutional clients trade cryptocurrencies directly, known as spot trading, which means buying and selling coins like Bitcoin and Ether for immediate delivery instead of using futures or other contracts. A bold move! Now they’re just one step away from trading NFTs of their own stock certificates. 🎨

Last December, SC Ventures announced on LinkedIn that it was developing a digital-asset venture called Project37C, described as a “light financing and markets platform” that would offer custody, tokenization, and market access. 

Tokenization refers to the process of converting rights to an asset into a digital token on a blockchain. The post did not mention a prime brokerage explicitly or name any external partners. A spokesperson for SC Ventures declined to comment. Classic! It’s always the quiet ones who tokenize your life. 🤫

Managing capital and regulatory requirements 

Housing the prime brokerage within SC Ventures may allow Standard Chartered to manage capital requirements, the minimum funds a bank must hold to cover risks. Banks need to be careful when holding cryptocurrencies on their own books, because these assets carry much higher risk requirements than traditional investments. 

By placing its crypto operations under SC Ventures, Standard Chartered can offer digital asset services to clients without putting as much strain on its balance sheet. A masterstroke! Now the bank can pretend it’s not gambling with your savings while still doing so. 🎲

The broader banking trend

Standard Chartered is not the only bank looking seriously at crypto.In the United States, JPMorgan Chase is weighing options to offer cryptocurrency trading to institutional clients, while Morgan Stanley has moved ahead with filings to introduce exchange-traded funds (ETFs) linked to Bitcoin, Ether, and Solana. 

ETFs are traded on stock exchanges and let people invest in crypto without owning the coins. When firms like BlackRock and ARK get involved, it shows that crypto is no longer a fringe idea and is slowly becoming part of mainstream finance. Or as Gogol might quip: “The circus has arrived, and the clowns are now wearing suits.” 🎩

In the U.S., spot crypto ETFs now manage close to $140 billion in assets, reflecting the growing interest from large institutional investors. Because nothing says “prudence” like parking billions in assets that could vanish faster than a hot potato. 🔥

Prime brokerage deals show market momentum

The prime brokerage space has already seen some of the biggest deals in recent months. In April 2025, Ripple, the blockchain payments company, acquired Hidden Road, a crypto prime brokerage, for $1.25 billion. 

Later in the same year, in October, another prime broker, FalconX, purchased 21Shares, one of the largest issuers of cryptocurrency ETFs. These big-ticket deals show that prime brokerages are quickly becoming the main entry point for large institutions looking to invest in crypto. A gold rush, but with more spreadsheets and fewer pickaxes. 📊

Looking ahead

By planning its own prime brokerage, Standard Chartered is aiming to give institutional investors a safer and more regulated route into the crypto market. It also reflects a change in how banks are now viewing digital assets, which are no longer seen as side experiments but as part of regular financial services.

As crypto rules become clearer and more large investors step in, prime brokerages are likely to play a bigger role. They will make it easier for banks and institutions to deal with cryptocurrencies in a structured and regulated manner. Or as the future might sigh: “We traded one chaos for another, but at least now it’s blockchain.” ⛓️

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2026-01-12 17:49