Standard Chartered PLC has announced that they have decided to set up a cryptocurrency trading platform in the UK and Europe, unlike its Asian rival HSBC.
Cryptocurrency platform for institutions is coming
It was stated that this initiative will be aimed at institutions and will be developed through a joint venture between its digital arm SC Ventures and BC Technology, which operates the Hong Kong-licensed cryptocurrency exchange OSL.
Mainstream banks in major countries such as the US and UK have so far been largely reluctant to adopt cryptocurrencies due to their volatility and uncertainty over their regulatory status.
Standard Chartered’s move is cited as one of the strongest in the arena, especially when compared to HSBC, which has no plans to build a cryptocurrency platform or sell it to customers.
Similar steps came from many big banks
Still, other banks are also starting to develop strategies to deal with the excitement over cryptocurrencies.
Goldman Sachs recently reopened its trading desk, while JP Morgan announced in April that they had started preparing a Bitcoin fund. JP Morgan CEO Jamie Dimon has previously called cryptocurrencies a scam. This move of the bank is seen as a 180-degree turn, so to speak.
Standard Chartered said the new platform will target the European market and will connect institutional investors with counterparties trading Bitcoin, Ethereum and other digital assets.
Alex Manson of SC Ventures said in a statement:
“We have a strong belief that digital assets will persist around the world and will be embraced by institutional markets as a highly important asset class.”