Standard Chartered Receives Green Light To Launch Digital Asset Custody Service in DIFC

UAE digital asset users will be able to take advantage of international cross-border bank, Standard Chartered‘s digital asset custody service as it lands in the country. The service has been given the green light to operate in the Dubai International Financial Centre (DIFC) by the regulator, Dubai Financial Services Authority (DFSA).

The announcement follows the memorandum of understanding (MoU) which was signed in May 2023, which showcased the bank’s ambitions to offer digital asset services in the region, while keeping within its regulations. The licence granted by the DFSA now means Standard Chartered can safekeep its clients’ digital assets.

Bill Winters, group chief executive of Standard Chartered Bank

Bill Winters, group chief executive of Standard Chartered Bank said: “The launch of our digital asset custody offering represents a pivotal moment not just for Standard Chartered, but for the financial services industry. We firmly believe that digital assets are not merely a passing trend, but a fundamental shift in the fabric of finance.

“With this new service, we are strategically positioning ourselves at the forefront of this next evolution in the custody business. Our robust infrastructure, coupled with our expertise in the field allows us to provide a bridge between the world of financial services and the emerging digital asset ecosystem.”

Setting up for success in the UAE

This marks a significant milestone in the bank’s digital asset strategy. Initially, the service will support the two largest cryptocurrencies by market capitalisation, Bitcoin and Ethereum. Brevan Howard Digital, the dedicated crypto and digital asset division of Brevan Howard, is confirmed as the inaugural client for the product.

The bank plans to broaden its scope in the coming months to encompass a wider range of digital assets. Furthermore, it is actively exploring opportunities to extend its custody services to other key financial hubs in its footprint markets.

Working with Brevan Howard Digital

Margaret Harwood-Jones, global head of financing and securities services said: “After a period of intensive work and close collaboration with regulators both regionally and globally, we are thrilled to welcome Brevan Howard Digital as the first client of our digital asset custody offering.

“This announcement demonstrates the growing institutional interest in digital assets and the critical need for secure, regulated custody solutions. Our offering goes beyond simple wallet services – it is a comprehensive solution that addresses the unique challenges of digital asset custody from a regulatory, risk and prudential point of view.

“It is a game changer for institutional clients, as we can support them with our traditional expertise to navigate the complexities of the sector, without compromising on the highest standards of security.”

Gautam Sharma, chief executive officer of Brevan Howard Digital

Gautam Sharma, chief executive officer of Brevan Howard Digital said: “This is a significant win for the UAE and the wider digital asset industry. Standard Chartered’s global reputation and demonstrated commitment to this space adds a layer of credibility that is meaningful for institutional adoption.

“The development of the institutional infrastructure within the asset class and region supports our established business within the ADGM in its continued expansion and our ongoing efforts toward improving and reinforcing standards in the digital asset ecosystem.”

 

The post Standard Chartered Receives Green Light To Launch Digital Asset Custody Service in DIFC appeared first on The Fintech Times.

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