Standard Chartered, through its ventures unit SC Ventures, and BC Technology have teamed up to establish a new digital asset brokerage and exchange platform.
The new joint venture will be based in the UK and will primarily target the European market.
It will provide access to deep pools of liquidity in Bitcoin, Ethereum and other digital assets, and support the development of global digital-asset infrastructure.
BC is a public fintech and digital asset firm, and the parent company of Hong Kong Securities and Futures Commission (SFC)-licensed digital-asset platform OSL.
OSL offers customers secure and compliant trading access to Bitcoin, Ethereum and other high-quality digital assets, along with select security token offerings (STOs).
For the new joint venture, BC Group will leverage its OSL digital-asset technology and Standard Chartered its wide network and experience, and access to European markets.
BC chief information officer Usman Ahmad will be appointed as CEO of the new entity, and Nick Philpott from SC Ventures will be the COO.
Usman Ahmad said: “With total market capitalisation of digital assets over $1tr, collaboration between market-leading firms is imperative to the continued development of robust global institutional digital asset infrastructure.
“The JV will aid in maturing the digital asset ecosystem by combining OSL’s expertise in regulatory compliant, secure institutional digital asset trading with SC Ventures’ proven capability to develop future technology capabilities in banking and finance.”
SC Ventures, BC will launch the JV in Q4 2021
The joint venture is expected to further strengthen positions of Standard Chartered and BC Group as major players in the development of global digital-asset infrastructure.
It is planned to be launched in the fourth quarter of 2021, subject to regulatory approvals.
In December 2020, SC Ventures has announced a strategic partnership with Northern Trust to launch Zodia Custody, an institutional-grade custody solution for digital assets.
Zodia allows institutions to invest in digital assets that are transforming how financial markets operate, including transaction and settlement.
SC Ventures Alex Manson 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.”
Also, Standard Chartered has invested in blockchain technology firm Metaco and partnered with the Bank of Thailand and the Hong Kong Monetary Authority to explore distributed ledger interoperability for cross-border fund transfers..
