Standard Chartered Eyes EU Bitcoin Market With Luxembourg Launch

• Standard Chartered Bank launched crypto custody services in Luxembourg to serve institutional clients across the European Union.

• The bank chose Luxembourg for its strong regulatory framework and to align with the EU’s MiCA regulation.

Standard Chartered has set up a new division in Luxembourg to provide EU crypto and digital asset custody services. This comes in the backdrop of the increasing need for secure and compliant digital assets management. It also fits in with the Markets in Crypto Assets (MiCA) Regulation, which provides a framework for crypto business within the EU.

The new Luxembourg entity will focus on the institutional clientele and will offer secure storage of digital assets in compliance with high regulatory requirements. Luxembourg has been identified by the bank as the perfect location for its new crypto products because of the stability of the region and a moderate regulatory environment.

Laurent Marochini has been appointed the new CEO of Standard Chartered’s Luxembourg office. His background as Head of Innovation at Société Générale makes him well-suited to oversee the company’s efforts to expand its presence in the European digital asset market.

Margaret Harwood-Jones, the Global Head of Financing & Securities Services at Standard Chartered, highlighted the need to provide regulated digital asset custody services. She noted that the bank focuses on the development of solutions that meet the changing needs of the financial world and the protection of institutional clients’ assets.

Expansion Beyond Europe

The Luxembourg initiative follows Standard Chartered’s other recent forays into digital assets in the UAE. Earlier this year, the bank secured the required licence from the Dubai Financial Services Authority (DFSA) to offer digital asset custody services in the Dubai International Financial Centre (DIFC). This approval allowed the bank to service institutional clients who needed cold storage for Bitcoin and Ethereum.

In the UAE, Brevan Howard Digital was the first institutional client for Standard Chartered Bank’s custody services, as reported by CNF. The bank also introduced a new spot trading desk for Bitcoin and Ethereum in London, which shows its eagerness to incorporate new cryptocurrency services into traditional banking.

Embracing MiCA and Beyond

The bank’s foray into the Luxembourg market happens at the same time that the EU’s MiCA framework is being rolled out. The regulation, which was implemented recently, has led a number of companies to apply the measures in a bid to improve their business in the European crypto markets.

Other companies, such as MoonPay, BitStaete, and Socios.com, have already received the MiCA license. Bitget has also set up an office in Lithuania to expand its services further and abide by the new rules.

According to Hunter Horsley, the CEO of Bitwise, traditional financial institutions are showing increased interest, and by 2025, many banks may enter the crypto space. This is in line with the current trend because Standard Chartered has not relented in its efforts to innovate in the digital asset sector.

This is not the first time that Standard Chartered has shown interest in the digital asset market. The bank has also invested heavily in Zodia Custody and Zodia Markets, offering institutional client solutions for custody and over-the-counter trading. In late 2024, the bank established Libeara, a division focusing on blockchain and other related digital assets.