Standard Chartered Expands Crypto Push With Institutional Prime Brokerage
The post Standard Chartered Expands Crypto Push With Institutional Prime Brokerage appeared on BitcoinEthereumNews.com.
Fintech Standard Chartered is making a deeper push into digital assets by building a crypto prime brokerage aimed at hedge funds and asset managers, signaling how quickly traditional banks are repositioning as institutional demand for crypto accelerates. The new operation will be housed within SC Ventures, the bank’s innovation and venture unit, rather than inside its core banking business. Key takeaways: Standard Chartered is launching a crypto prime brokerage for institutional clients. The business will operate under SC Ventures, not the bank’s main balance sheet. The move reflects accelerating institutional demand for crypto infrastructure. That structure matters. By placing the initiative under SC Ventures, Standard Chartered can expand its crypto footprint while limiting exposure to punitive capital rules that still hang over banks holding digital assets directly. Why SC Ventures is doing the heavy lifting On the surface, the move looks like a natural extension of the bank’s existing crypto activity. Standard Chartered already backs institutional infrastructure such as Zodia Custody and Zodia Markets, and last year it positioned itself as the first globally systemically important bank to offer spot crypto trading to institutional clients. But the regulatory angle is just as important. Under Basel III rules finalized in 2022, “permissionless” crypto assets like Bitcoin and Ether carry a 1,250% risk weight if held on a bank’s balance sheet — effectively making large-scale involvement uneconomic. Venture-style exposures, by contrast, face far lower capital charges. Running the prime brokerage through SC Ventures offers a practical workaround while regulators continue debating how banks should treat crypto risk. Hints of the strategy surfaced last month, when SC Ventures teased a joint initiative called Project37C on LinkedIn, describing it as a lightweight markets and financing platform spanning custody, tokenization, and access to digital markets. While the post avoided the term “prime brokerage,” the direction…
Filed under: News - @ January 12, 2026 4:23 pm