Standard Chartered to Open Bitcoin and Ethereum Trading Desk

Summary:
Standard Chartered, a billion-dollar banking giant, has announced plans to launch a Bitcoin (BTC) and Ethereum (ETH) trading desk in London. This initiative, driven by institutional demand, aims to offer the bank’s institutional clients access to the crypto industry, beginning with these two major cryptocurrencies. The move is part of a broader trend of institutional adoption that could potentially drive up crypto prices.
The bank’s strategy aligns with efforts by other major financial institutions like Goldman Sachs, which has been trading crypto derivatives under strict regulatory frameworks. The Basel Committee on Banking Supervision, for example, requires a 1,250% risk weighting for any unhedged crypto exposure.
Blockchain researcher Collin Brown and other experts highlight this as a significant step in mainstream financial adoption of digital assets. Institutional investors have been crucial in driving crypto prices, as seen with the success of Bitcoin spot ETFs, including BlackRock’s iShares Bitcoin Trust (IBIT), which has accumulated over $20 billion.
Additionally, there are predictions that the SEC could soon approve spot Ethereum ETFs, which could further bolster the price of Ethereum. Bitcoin is currently trading at $64,100 after a recent 3.8% drop, while Ethereum is at $3,474, having fallen 3.1% last week. The rising institutional interest in crypto trading is expected to positively influence prices and ensure long-term growth in the digital asset market.