Main Points：
- Standard Chartered has launched spot trading services for Bitcoin (BTC) and Ethereum (ETH) for institutional clients, integrating crypto into its existing FX platform.
- Clients can choose between external custodians or Standard Chartered’s in‑house custody (Zodia Custody), with non‑deliverable forwards (NDFs) slated for a future launch.
- The move follows a wave of global banks (e.g., Sparkassen in Germany, HSBC in Hong Kong) embracing crypto services amid easing U.S. regulatory guidance.
- Bitcoin recently traded around $118,000 and Ethereum near $3,160, both showing resilience despite short‑term pullbacks.
- Drivers include robust institutional inflows, clearer regulation after the Fed withdrew restrictive guidance in April 2025, and growing demand for regulated, deliverable crypto products.
- This landmark launch could accelerate credibility, liquidity, and competition, positioning banks as rivals to traditional exchanges.
Standard Chartered’s Crypto Trading Debut
On July 15, 2025, Standard Chartered became the first global systemically important bank to offer deliverable spot trading in Bitcoin and Ethereum, targeting institutional clients—including corporates, asset managers, and professional investors—through its UK branch. The service is fully integrated into the bank’s existing foreign‑exchange trading interfaces, allowing clients to buy and sell BTC and ETH just as they would major currency pairs.
Seamless Integration with FX Platforms
Institutional clients can execute spot crypto trades via the familiar FX trading screens they already use, minimizing operational friction. Standard Chartered will settle transactions on a DvP (Delivery versus Payment) basis, ensuring that digital assets and fiat funds exchange hands simultaneously.
Custody Options
Clients have flexibility in custody:
- External Custodians: Clients may select their preferred qualified custodian.
- Zodia Custody: Standard Chartered’s in‑house, regulated custody solution managed through its strategic partner, FalconX, particularly in Asia.
Roadmap: From Spot to Derivatives
Following spot trading, Standard Chartered plans to roll out non‑deliverable forwards (NDFs) for crypto assets. NDFs allow clients to hedge or gain leveraged exposure without moving the underlying tokens, catering to those seeking risk‑management tools under a regulated framework.
“As client demand accelerates further, we want to offer clients a route to transact, trade and manage digital asset risk safely and efficiently within regulatory requirements,” said CEO Bill Winters.
Institutional Demand and Market Context
Institutional interest in crypto has surged year‑to‑date, driven by record‑high prices and clearer regulations. Bitcoin recently hit an all‑time high above $123,000 before settling around $118,000, while Ether has traded in the $3,000–$3,200 range over the past week (see Table 1).
Table 1: BTC and ETH Closing Prices (July 12–16, 2025)
| Date | BTC Close (USD) | ETH Close (USD) |
|---|
| 2025‑07‑12 | 117,419 | 2,940 |
| 2025‑07‑13 | 119,118 | 2,970 |
| 2025‑07‑14 | 119,834 | 3,010 |
| 2025‑07‑15 | 117,678 | 3,140 |
| 2025‑07‑16 | 118,178 | 3,160 |
Source: CoinGecko (BTC) , TwelveData (ETH)
Technical Outlook
- Bitcoin: After peaking at $123,000, BTC pulled back ~3% but remains up 23% YTD, suggesting a “pause that refreshes” before potential further upside.
- Ethereum: ETH bullish as it consolidates above $3,045; a close above $3,100 may signal continuation toward $3,200.
Regulatory Tailwinds
In April 2025, the U.S. Federal Reserve, FDIC, and OCC collectively withdrew prior guidance requiring banks to seek approval for crypto activities. This landmark shift removed advance‑notice and non‑objection requirements, signaling a more crypto‑friendly regulatory environment.
- FRB Withdrawal: Fed rescinded supervisory letters from 2022 and 2023 on crypto‑asset and dollar‑token activities.
- Interagency Statements: Joint statements warning of volatility and liquidity risks were also withdrawn, although safety‑and‑soundness expectations remain under normal supervisory processes.
This easing of guardrails encourages banks to build regulated crypto offerings, aligning with broader legislative momentum in the U.S., including bills like the CLARITY Act and the Anti‑CBDC Surveillance State Act.
Global Banking Sector Embraces Crypto
Standard Chartered’s move is part of a global trend:
- Sparkassen (Germany) plans direct BTC and ETH trading for ~50 million retail clients by summer 2026.
- HSBC (Hong Kong) has offered Bitcoin and Ethereum futures ETF investments to retail clients since 2023.
- JP Morgan is preparing loan products collateralized by crypto ETFs.
These developments suggest a shift from crypto exchanges (e.g., Coinbase) toward banks as primary gatekeepers of institutional crypto access.
Implications and Outlook
- Market Credibility: Bank‑backed trading desks can enhance legitimacy, attracting more institutional capital and reducing the “exchange‑risk” premium.
- Liquidity Boost: Access via FX platforms and NDFs will deepen order books, narrowing spreads and improving execution for large trades.
- Competitive Dynamics: Crypto exchanges will face pressure to match banks’ regulatory assurances and integration with legacy finance systems.
Looking Ahead: As banks expand their crypto suites—potentially adding spot trading for additional tokens, lending services, and tokenized assets—they could become full‑service digital‑asset custodians and trading hubs. Regulatory clarity and institutional appetite will be key drivers; market watchers should monitor how these offerings perform in Asia and Europe before extending 24/7 global access.
Conclusion
Standard Chartered’s institutional spot trading launch marks a pivotal moment in mainstream finance’s adoption of crypto. By integrating deliverable BTC and ETH trading into its FX platform and offering robust custody options, the bank addresses core institutional concerns around security, compliance, and liquidity. This bold step, coupled with easing U.S. regulations and sustained institutional inflows, positions global banks to rival traditional exchanges and propel crypto into the heart of modern financial markets.
