One of Ripple Labs Inc.’s strongest investor and RippleNet users is launching cryptocurrency custody for institutions, and already around 20 banks have shown interest in making use of the solution.
The Ripple investor, Standard Chartered Bank, said his innovation and venture section is ready to launch the crypto custody for the institutional market later this year.
In a conversation with a blockchain-centric magazine, Standard Chartered’s head of SC Ventures, Alex Manson, revealed that the company is designing a solution that is arguably the “most secured” crypto custody for the institutional market.
While nothing much has been said about the custody solution, Mansion is sure that 20 institutions are ready to make use of the solution once unveiled, dictating that the company will see a huge turnover from firms far and wide.
The custody solution is going to be situated in the United Kingdom, but customers from around the world are entitled to make good use of it. Security tokens and assets like Bitcoin are going to be saved in the custody solution, Mansion made known.
The unavailability of secured custody solutions has been hindering the institutional adoption of cryptocurrency for some time. At the beginning, the Standard Chartered Ventures had the objective of launching a digital asset market service, however, the arm realized that some institutions won’t touch the space until they have made use of institutional-grade custody like the one Standard Chartered Ventures is now launching.
Available custody services that are being offered today are not secured enough for institutions to save millions of dollars’ worth of cryptocurrency, this gives the firm the hope to launch a secured custodial solution, Mansion said.
The innovation section of the Standard Chartered says it is also bringing in at least 9 non-crypto ideas into the market.
The progress and revelations are being poured in a week after the venture section of the Standard Chartered invested in Mataco, a market infrastructure provider. When the firm made the investment, it did reveal that it will make use of Metaco to galvanize its custodial ideas that are in the offing, indicating that Metaco would strongly help in the realization of the initiative.
Over the years, Standard Chartered has been romancing the crypto space. The firm, in 2016, announced investing in Ripple Labs Inc., the firm behind XRP token, and some massively adopted remittance payment solutions.
During the investment announcement, Standard Chartered declared that it made the decision to work speedily towards the realization of its digitization agenda in the distributed ledger technology space, where Ripple performs a pivotal role.
Standard Chartered Bank made the investment to get opened to new initiatives that will add value to the banking industry and its clients.
Since then, the bank has been making use of the RippleNet solution. Mid 2018, the bank said it would expand its use of RippleNet to five more countries for easy fund movement. The bank, before making that decision, began with Singapore and India corridor and launched the solution in partnership with Axis Bank, another Ripple customer.