Standard Chartered Pioneers Regulated Bitcoin and Ethereum Trading for Institutional Clients

Standard Chartered Bank has granted institutional clients the ability to trade Bitcoin and Ethereum, as detailed in a recent press release.

This major UK financial conglomerate has become the first systemically important organization to initiate regulated cryptocurrency trading with physical settlement.

Corporate clients of Standard Chartered, including investment funds and asset managers, can trade pairs XBT/USD and XET/USD using the standard FX interface within the bank’s UK branch.

“The demand for regulated digital asset solutions is on the rise, and we are prepared to provide our clients with the necessary tools,” stated Bill Winters, CEO of Standard Chartered.

For settlements, clients can utilize external custodians or Standard Chartered’s own custody service, Zodia Custody, which was launched in 2020.

Additionally, the bank plans to introduce non-deliverable forwards (NDFs) shortly.

Experts from Wintermute highlight significant differences in investment strategies between retail and institutional participants amidst a bullish market, as reported by The Block.

Major players are increasing their investments in Bitcoin and Ethereum, with about 70% of their portfolios allocated to these two highly capitalized cryptocurrencies, compared to only 37% among retail investors.

“This is not a temporary trend, but rather a sign of market maturity. Institutions view crypto assets as macro assets, while retail investors continue to seek high-return, albeit risky opportunities,” remarked Evgeny Gaiyev, CEO of Wintermute.

Among retail investors, relatively new meme coins such as BONK, WIF, and POPCAT have gained considerable popularity, while established coins like DOGE, SHIB, and PEPE maintain their status as leaders in the GMCI MEME index.

Currently, the U.S. Securities and Exchange Commission is reviewing several applications for the launch of a spot Dogecoin ETF. Analysts at Wintermute believe that a favorable decision from the regulator could further boost retail demand for meme tokens.

As a reminder, in May, Standard Chartered collaborated with the crypto broker FalconX.