Cryptocurrency exchange OKX has selected Standard Chartered as its third-party cryptocurrency custodian to help institutional investors meet growing demand for segregated storage solutions.
OKX has partnered with banking giant Standard Chartered to enhance its crypto asset custody services for institutional customers, addressing the growing need for separate custody of digital assets.
In a blog announcement on October 29, the cryptocurrency exchange said the partnership comes as cryptocurrencies become an integral part of diversified investment portfolios. OKX highlights that recent research shows that 80% of traditional and crypto hedge funds leveraging digital assets rely on third-party custodians, highlighting the importance of segregated custody services. emphasized the need.
Margaret Harwood-Jones, Standard Chartered's global head of financial and securities services, said that by acting as a third-party custodian for OKX, the bank is “bringing expertise to the evolving crypto sector. We can now scale up and provide institutional investors with the assurance they need.”
“This partnership is part of our larger vision to bridge the gap between traditional finance and the world of digital assets by giving our customers the option to separate trading and custody.”
OKX
With the partnership, Standard Chartered aims to “attract increased institutional participation” in the cryptocurrency space and contribute to a “more mature environment for institutions around the world.” The partnership comes as the bank increases its focus on the crypto sector as market prices rise.
Standard Chartered strengthens focus on cryptocurrencies
In early August, Standard Chartered's virtual bank, Mox Bank, became the first in Hong Kong to offer spot crypto exchange-traded funds to retail investors. The bank's products include a range of crypto ETFs approved under Hong Kong regulations, including both spot and derivative products listed on Hong Kong and US exchanges.
Furthermore, the Hong Kong Monetary Authority has also admitted Standard Chartered as a participant in its stablecoin sandbox, allowing the bank to consider issuing fiat-backed digital currencies. In addition to Standard Chartered, the HKMA's sandbox includes several other companies, including JD.com subsidiary JINGDONG Coinlink Technology Hong Kong, RD InnoTech, and a partnership that includes Animoca Brands and Hong Kong Telecommunications .
