Hong Kong, May 14 (Reuters) – Crypto Prime Broker Falconx and Global Bank Standard Chartered (Stan.L)open a new tab On Wednesday they said they formed a strategic partnership to serve the institutional crypto investors.
The partnership marks Falconx’s first collaboration with global traditional banks, suggesting an increasing institutional demand for digital assets through traditional financial channels.
Falconx leverages Standard Chartered’s banking and foreign exchange services (including access to a wide range of currencies) to support institutional clients, said Matt Long, general manager of APAC and Falconx in the Middle East.
“Our clients will be able to engage more efficiently with the Fiat currency settlement, which means much faster settlements, increased capital efficiency and lower overall operational risk,” he told Reuters.
The California-based crypto-focused prime broker services company said its clients include the world’s largest asset managers, sovereign wealth funds, hedge funds and family offices.
Standard Chartered noted that as a driver of the partnership, it will encourage institutional clients to adopt digital assets.
Luke Boland, Asia Head of FinTech at Standard Chartered, said cooperation with Falconx in Singapore would begin and later expand to other countries in Asia, the Middle East and the US.
Hong Kong’s ready-made multinational banks are expanding their digital assets business. Last year, the bank launched digital asset management services in the United Arab Emirates. In April, they partnered with Digital Exchange OKX to enable institutional clients to use cryptocurrency as collateral.
The global cryptocurrency market rose to high expectations for a golden age of digital assets and surpassed its $3 trillion market value in November after crypto-friendly Donald Trump promoted elections as US president.
Standard Chartered expects the overall value of its digital assets to reach $10 trillion by 2026.
Founded in 2018, Falconx was last valued at $8 billion, following the $150 million funding round in 2022. This is supported by investors such as Wellington Management, Singapore Sovereign Wealth Fund GIC, and Tiger Global Management.
