Standard Chartered Partners With BC Group for Digital Asset Platform

Rick Steves

The new JV with BC Group builds SC Ventures’ recent partnership with Northern Trust to develop a digital custody service, called Zodia, aimed at institutional investors.

Standard Chartered and BC Group are building a digital asset brokerage and exchange platform for institutional and corporate clients in the UK and Europe.

A joint venture that brought together digital asset company BC Technology Group and the bank’s SC Ventures unit will aim to connect institutional traders to counterparties across markets, delivering access to deep pools of liquidity in bitcoin, Ethereum, and other crypto-assets.

BC Group’s Hong Kong-based digital asset platform, OSL, will serve as the software infrastructure while Standard Chartered provides its global network. brokerage expertise, and access to the European market. To lead the company, the joint venture chose BC Group CIO Usman Ahmad as the CEO, while Nick Philpott of SC Ventures will be COO.

Alex Manson, SC Ventures, said: “We have a strong conviction that digital assets are here to stay and will be adopted by the institutional market as a highly relevant asset class.

“We are constructing the building blocks for a safe and reliable investment infrastructure: on the back of Zodia Custody, which will ensure safe and compliant custody for institutional investors, the new company will provide a brokerage and exchange platform to enable safe adoption and trading by the world’s largest and most demanding investors.”

The new JV with BC Group builds SC Ventures’ recent partnership with Northern Trust to develop a digital custody service, called Zodia, aimed at institutional investors.

Zodia will provide custody services for the most traded cryptocurrency assets – bitcoin, ethereum, followed by XRP, Litecoin, and Bitcoin Cash. At the time, Maxime De Guillebon, CEO, Zodia, said: “” We combine the risk management, compliance, governance and security approach of a regulated financial institution with the cutting-edge innovation of crypto asset and key management technologies.”

The banking industry took small and slow steps in the direction toward digital asset trading throughout many years, but since late 2017 much has changed and the industry is now building out their platforms and offerings, mostly for institutional and professional investors, but some also cater to retail.

A recent Goldman Sachs report stated, “Bitcoin is now considered an investible asset“. It should be said that Goldman CEO Solomon later warned “buyer beware”.

“There’s no question that institutions and individuals are looking for exposure to bitcoin […] On cryptocurrency, especially bitcoin, I’m extremely cautious”, adding that the “use cases aren’t there and the regulatory and government oversights are still relatively unclear.”

Read this next

Retail FX

Malaysia regulator exposes OctaFX clone, shady FB profiles

Malaysia’s financial regulator today warned online investors about the risks of following investment tips made on social-media platforms.

Digital Assets

Crypto trading volume spikes at Swiss bourse amid FTX collapse

The shockwaves from the historic collapse of Sam Bankman-Fried’s crypto empire are still being felt across the industry, but some trading venues are actually doing better because of it.

Executive Moves

CMC Markets adds Camilla Boldracchi to institutional sales

UK’s biggest spread better, CMC Markets has promoted Camilla Boldracchi to take on an expanded role within its institutional sales desk.

Institutional FX

FXSpotStream reports $1.48 trillion in monthly volume for November

FXSpotStream’s trading venue, the aggregator service of LiquidityMatch LLC, reported its operational metrics for November 2022, which moved higher on a yearly basis but reflected weak performance across executed trade volumes when weighed against the figures of the prior month.

Retail FX

Interactive Brokers’ client activity drops 30% YoY

Interactive Brokers LLC (NASDAQ:IBKR) saw 1.95 million daily average revenue trades, or DARTS, in November 2022 compared to 1.96 million transactions in the prior month.

Digital Assets

The rise of Crypto ETPs in traditional exchanges as crypto winter deepens

Institutional investors are increasingly looking at traditional regulated exchanges as their first route into digital assets amid market turmoil caused by the crypto winter and the collapse of several big names within the space, including FTX. Acuiti and Eurex surveyed 191 buy and sell-side firms on their views of the digital assets markets in order […]

Digital Assets

TP ICAP’s crypto arm receives FCA’s go-ahead

UK interdealer broker TP ICAP has received a regulatory go-ahead to launch its cryptocurrency services in the UK. The bid shows that the recent collapse of FTX exchange has done little to damp the interest of big names in running their own crypto business.

Industry News

Coin Signals founder to pay $2,847,743 after prison sentence over crypto Ponzi scam

The U. S. District Court for the Southern District of New York has ordered Jeremy Spence, founder of Coin Signals, to pay $2,847,743 in restitution to victims of a fraudulent virtual currency scheme.

Digital Assets

CME Group goes DeFi: Reference rates and real-time indices of Aave, Curve, Synthetix

“These rates are designed to provide traders, institutions and other users transparency and price discovery across a much broader range of tokens, allowing them to confidently and more accurately value cryptocurrency sector specific portfolios and manage price risk around various blockchain-based projects.”

<