Standard Chartered Bank announced Thursday that it will expand its crypto services to the European Union (EU). The UK-based bank in London has made its debut in Luxembourg for crypto-related services. This makes Luxembourg an entry point for banks to enter the EU market. The development comes after the EU’s crypto guidelines, known as the Market in Crypto Asset Management (MICA) market, which can launch these services in other EU countries, but has not revealed any expansion plans.
An article from the bank said the bank will now provide crypto and digital asset custody services to its customers in Luxembourg.
Worldometer data claims that Luxembourg currently has a population of more than 676,000. Meanwhile, Statista’s data estimates that the number of crypto holders in Luxembourg is expected to violate 36,000 marks by 2025. In its statement, the bank said Luxembourg has a good regulatory and financial ecosystem that makes it a viable entry point as it enters the EU.
“We are really excited to be able to provide our digital asset custody services to the EU region, allowing us to support our customers through products that change traditional financial situations, while also providing the security of being a properly regulated entity. Harwood -Jones serves as the head of global financing and securities services at Standard Chartered.
Laurent Marochini will lead the bank’s Luxembourg entity as CEO. He previously served as head of innovation at the Bank of France’s Sociétégénérale.
Standard History of the Charter with Cryptocurrency
Various traditional banks such as JP Morgan, Morgan Stanley and Goldman Sachs have made progress in exploring the digital asset space in recent years. Over the past few years, the Standard Charter has also participated in several Web3-centric projects.
In 2022, the Singapore Monetary Authority (MAS) collaborates with the Charter to drive a project focused on exploring digital tokens that can simplify trade financing.
Last September, the multinational bank launched a digital asset custody service in the UAE. At the time, Standard Chartered Group CEO Bill Winters said the bank firmly believed that digital assets like cryptocurrencies would inevitably trigger a fundamental shift in financial structure.
EU crypto extension
The EU completed the Mica Regulations in 2022. It provides VASP with two years to align it with the mica rules. These guidelines have been developed to ensure that crypto-related practices can safely get involved in investors. Operate in the EU region.
Due to regulatory clarity in the EU region, cryptocurrency companies are gradually reaching EU countries to expand their operations. Earlier this month, Hong Kong-based Hashkey Crypto exchanges entered the EU region by obtaining a license in Ireland.
US-based PayPal also chose Luxembourg to debut its crypto service in the EU in 2022.
