Standard Chartered has started to store digital assets in the United Arab Emirates. They are starting with Bitcoin and Ethereum, which are the two biggest cryptocurrencies in the world. The Dubai Financial Services Authority (DFSA) gave the service the green light, and it now runs in the Dubai International Financial Centre (DIFC), which is a well-known global financial hub.
The bank’s digital asset protection service can protect the digital assets of institutional clients. Client Brevan Howard Digital, which is part of the hedge fund Brevan Howard, will be the first to use this new service.
Standard Chartered and the DIFC signed a letter of understanding in May 2023, which showed that the bank was ready to get into the crypto custody area. The bank’s relationship with Brevan Howard Digital shows that more and more people in the area want safe and regulated custody options.
Standard Chartered’s CEO, Bill Winters, said that the bank’s long-term plan for the digital asset field is in line with this new service. He was sure that digital assets would be around for a long time, which would be a big change in the financial world.
The UAE was the best place to start this service because it has good regulations and a strong presence in the digital banking area. The UAE is a major player in the global digital asset environment, as ranked third in the world by the Henley Crypto Adoption Index 2024.
The bank wants to offer more security services for a bigger range of digital assets as part of its overall crypto strategy. The bank also plans to offer crypto in other important financial markets in the future. This will strengthen its place in the rapidly changing digital finance industry.
