This Bank Leads The Push Into Bitcoin And Ethereum Spot Trading — Does It Matter?

by World Offshore Banks

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On July 15, 2025, Standard Chartered made waves in the financial world by becoming the first major global bank to offer institutional clients direct spot trading in Bitcoin and Ethereum through its UK branch.

This isn’t just another product launch, it signals a significant shift in how traditional finance is engaging with digital assets.

Alongside Standard Chartered, heavy hitters like JPMorgan and BNY Mellon are quietly expanding their crypto footprints, launching tokenized assets and stablecoin infrastructure.

But what does this mean for the wider financial ecosystem, and how will it affect everyday investors and consumers?


Why Standard Chartered’s Move Matters
Standard Chartered is a globally systemically important bank, or G-SIB, which means it plays a vital role in the world’s financial stability.

Offering deliverable spot trading of Bitcoin and Ethereum means clients don’t just get exposure through funds or derivatives, they can now own the actual cryptocurrencies, settled in a fully regulated environment.

This service integrates into the bank’s existing FX trading platform, meaning institutional clients don’t have to learn new tools or workflows.

Trades can settle using Standard Chartered’s own custody service, Zodia, or trusted third-party custodians. This seamless integration reduces friction and increases confidence.

Bill Winters, Standard Chartered’s CEO, emphasized that the bank is responding to growing client demand for compliant, secure, and regulated access to digital assets.

Soon, the bank plans to add non-deliverable forwards (NDFs) on crypto, enabling hedging and speculation without requiring direct ownership.

Are Other Big Banks Following?
While Standard Chartered may have stolen the spotlight, JPMorgan and BNY Mellon have been quietly innovating in their own ways.

Despite CEO Jamie Dimon’s outspoken skepticism, he’s called Bitcoin “worthless” in the past, JPMorgan has built its own tokenized deposit coin, JPMD, running on the Ethereum-based Base network.

This token operates like a stablecoin, offering deposit insurance and compliance, but currently it remains within JPMorgan’s ecosystem.

BNY Mellon has leaned heavily into stablecoin custody and infrastructure. It’s partnered with Ripple to hold reserves for stablecoins and serves as a custodian for Bitcoin and Ethereum ETFs.

This reflects a cautious but clear interest in supporting crypto assets under strict regulatory standards.

Together, these moves from major banks show a shift from “crypto is risky” to “crypto is part of our portfolio.”

What’s Missing From the Headlines?
Most media coverage focuses on the “firsts” and the technology, but several deeper questions deserve attention:

1. Why is this happening now?
Cryptocurrencies like Bitcoin have reached all-time highs recently, reigniting investor interest.

Political and regulatory shifts, particularly in the UK and Europe, have also made banks more confident about compliance.

Institutions now see digital assets as part of their broader risk management and diversification strategies.

2. How are these services regulated?
Standard Chartered’s UK crypto operations fall under the Financial Conduct Authority (FCA), which adds a significant compliance layer. Their custody arm, Zodia, is also separately regulated.

JPMorgan’s JPMD coin is designed to meet deposit insurance standards, while BNY Mellon is navigating US regulatory frameworks carefully.

However, global regulatory consistency is still lacking, which could complicate cross-border services.

3. What about risks?
Volatility remains a concern. Banks must adapt their risk models and capital reserves to account for crypto’s price swings.

Custody also carries operational risks: safeguarding private keys and preventing theft require robust infrastructure and clear liability terms.

4. What does this mean for retail customers?
Institutional adoption often trickles down. As big banks improve crypto infrastructure, retail investors may benefit from cheaper, safer, and more accessible products like ETFs, wallets, or crypto-backed loans.
It could also help normalize crypto as a legitimate asset class for everyday users.

5. Who’s next?
Other global banks—Barclays, Citi, UBS, HSBC, are reportedly exploring crypto offerings.
Regional banks and fintech firms are also jumping in. This may soon trigger a competitive rush with new products and partnerships.

What Are the Benefits to Consumers and Investors?
Although these offerings target institutions, consumers stand to gain in several ways:

Better market infrastructure:
Institutional-grade custody and trading platforms raise overall industry standards.

Lower fees and better liquidity:
More competition among banks can reduce transaction costs.

Improved security and compliance:
Banks’ rigorous controls could prevent fraud and theft more effectively than some smaller crypto providers.

New financial products:
Tokenized assets and stablecoins backed by banks may provide safer, more regulated ways to invest or use digital currency.


The Regulatory Landscape: A Patchwork of Progress and Challenges
Regulation remains a complex challenge. The UK’s FCA and Europe’s MiCA framework provide clearer guidance, but other jurisdictions lag.

The US is still debating stablecoin legislation (GENIUS Act) and crypto oversight, which creates uncertainty for banks operating globally.

This patchwork means banks must be cautious about which products they offer and where. Cross-border transactions face compliance hurdles, requiring ongoing investment in regulatory technology (RegTech).

Looking Ahead: What to Expect
Expansion of crypto products:
Expect more banks to offer spot trading, derivatives, tokenized assets, and stablecoins as demand grows.

Deeper integration with traditional finance:
Crypto trading will become part of broader FX and asset management workflows.

Greater emphasis on custody and security:
Custody providers like Zodia will become central to trust in crypto banking.

Regulatory clarity will improve:
Governments are under pressure to provide frameworks that balance innovation and risk.

Institutional adoption drives retail acceptance:
As digital assets become a normal part of institutional portfolios, retail investors will likely follow.

Key Milestone In Crypto’s Maturation
Standard Chartered’s launch of deliverable Bitcoin and Ethereum spot trading marks a key milestone in crypto’s maturation.

When major banks like JPMorgan and BNY Mellon follow with tokenized coins and stablecoin custody, it signals a broader shift in traditional finance embracing digital assets,not as fringe experiments, but as core components of their offering.

For consumers, this could mean safer, more accessible, and cost-effective ways to engage with crypto.

For the financial system, it represents both opportunity and challenge: how to integrate innovation while managing risks and regulatory complexity.

The story is far from over. As more banks jump in, the financial landscape is set to change in ways we’re only beginning to understand.

But are they already behind? Travel platforms, for example, have been accepting crypto for years. Companies like Travala, airlines, and hotel chains are letting customers book entire trips with Bitcoin, Ethereum, and stablecoins, no middlemen, no delays.

Just recently, on July 9th, Emirates Airlines signed an MoU with Crypto.com to accept crypto payments for booking flights.

While banks are only now offering spot trading to institutions, millions of consumers have already moved on to using crypto in everyday life.

The question now isn’t just when banks will catch up, but whether they’re innovating fast enough to stay relevant in a world where crypto isn’t just held, it's being spent.