Standard Chartered is the latest mainstream financial institution to declare that it is exploring offering custody for crypto assets, saying there is a need for “trusted” providers in the space. The bank said on Tuesday that its research shows that more than half of millennials are interested in investing in cryptocurrencies. Some funds, such as 40 Act funds in the US, are required to hold assets with certain types of custodians deemed to satisfy fiduciary requirements. Northern Trust, Fidelity and Nomura are also exploring launching crypto custody services.
Standard Chartered is the latest mainstream financial institution to declare that it is exploring offering custody for crypto assets, saying there is a need for “trusted” providers in the space. Institutional investors are largely sitting on the side-lines, unsure whether crypto is an asset class and cautious about using new providers. Some funds, such as 40 Act funds in the US, are required to hold assets with certain types of custodians deemed to satisfy fiduciary requirements. Northern Trust, Fidelity and Nomura are also exploring launching crypto custody services.