OKX Expands Standard Chartered Custody Partnership to Europe for Safer Institutional Trading
Crypto alternate OKX has expanded its custody partnership with Standard Chartered into the European Economic Area (EEA), bringing a banking-grade custody mannequin to institutional merchants in Europe.
Key Takeaways:
- OKX expanded its custody partnership with Standard Chartered to Europe, providing bank-grade safety.
- The mannequin lets shoppers commerce on OKX whereas their property stay in Standard Chartered’s custody.
- The partnership strengthens regulatory belief in crypto.
The transfer extends the program first launched in the UAE earlier this 12 months and goals to strengthen investor safety by separating asset custody from buying and selling, a apply commonplace in conventional finance however nonetheless rising within the crypto house.
Partnership Lets Institutions Trade While Assets Stay in Bank Custody
The partnership permits institutional shoppers to retailer their property with Standard Chartered, one of many world’s few Global Systemically Important Banks (G-SIBs), whereas concurrently mirroring these balances on OKX for buying and selling.
This means shoppers can entry OKX’s liquidity with out transferring precise custody of their funds to the alternate, considerably lowering counterparty and custodial dangers.
These considerations have loomed massive because the 2022 collapse of FTX, which left billions in frozen person property.
Erald Ghoos, CEO of OKX Europe, stated the enlargement marks a key milestone in aligning digital property with conventional monetary safeguards.
“The enlargement highlights not solely Standard Chartered’s confidence as the primary and solely G-SIB to work instantly with a crypto alternate, but additionally the rising belief of regulators on this mannequin,” he stated.
Ghoos added that OKX’s MiCA license gives the regulatory readability wanted for establishments to deploy capital in Europe with higher confidence.
Standard Chartered’s Global Head of Financing and Securities Services, Margaret Harwood-Jones, stated the collaboration combines the financial institution’s established custody infrastructure with OKX’s regulatory framework, delivering “safe and compliant options” for Europe’s institutional traders.
The mannequin, she famous, goals to convey the identical degree of transparency and security that institutional shoppers count on in conventional markets to the crypto business.
OKX launched an analogous association with Komainu earlier in 2024, a part of its broader effort to supply off-exchange custody options.
It joins different main exchanges comparable to Deribit, Binance, and Bitget, which have pursued comparable partnerships to construct belief after years of high-profile failures and regulatory scrutiny.
“For us, all of it comes down to belief, regulation, and innovation,” stated Ghoos. “With Standard Chartered as a companion, we’re bringing these ideas to life in one of many world’s most vital markets.”
OKX Integrates PayPal for Zero-Fee Crypto Purchases in Europe
In July, OKX partnered with PayPal to permit customers within the European Economic Area to purchase and deposit cryptocurrencies instantly by way of the funds platform.
The transfer goals to simplify the shopping for course of by providing acquainted, localized fee strategies comparable to PayPal stability, linked financial institution accounts, and playing cards, with no additional setup wanted as soon as accounts are linked.
The initiative follows the exchange’s recent Markets in Crypto-Assets (MiCA) registration, making certain full compliance with EU digital asset rules.
Circle Internet Group and OKX have additionally announced a partnership geared toward increasing entry to and liquidity for the USDC stablecoin.
The collaboration will introduce 1:1 conversions between USD and USDC on the OKX platform, bettering buying and selling effectivity and accessibility for the platform’s greater than 60 million world customers.
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