Technology

Crypto platform FalconX partners with Standard Chartered

Crypto prime broker FalconX and global bank Standard Chartered said on Wednesday they had formed a strategic partnership to serve institutional crypto investors.

The partnership marks FalconX’s first collaboration with a global traditional bank and suggests growing institutional demand for digital assets through traditional finance channels.

FalconX will leverage Standard Chartered’s banking and foreign exchange services – including its access to a wide range of currencies – to support its institutional clients, said Matt Long, FalconX’s general manager of APAC & Middle East.

“Our clients will be able to engage more efficiently in fiat currencies settlements, which means a lot faster settlement, better capital efficiency and overall reduced operational risk,” he told Reuters.

The California-based crypto-focused prime-brokerage services firm said its clients include some of the world’s largest asset managers, sovereign wealth funds, hedge funds and family offices.

Standard Chartered pointed to greater digital asset adoption by institutional clients as the driver for the partnership.

Luke Boland, Asia head of fintech at Standard Chartered, said the bank’s collaboration with FalconX would begin in Singapore and later expand to other countries in Asia, the Middle East and the United States.

The London-headquartered multinational bank has been expanding its digital asset business. Last year, the bank started a digital asset custody service in the United Arab Emirates. In April, it partnered with digital exchange OKX to enable institutional clients to use cryptocurrencies as collateral.

The global cryptocurrency market surpassed $3 trillion in market value in November following the election of crypto-friendly Donald Trump as U.S. president, fuelling expectations of a golden era for digital assets.

Standard Chartered expects the overall value of digital assets to reach $10 trillion by 2026.

Founded in 2018, FalconX was last valued at $8 billion following a $150 million funding round in 2022. It is backed by investors including Wellington Management, Singapore sovereign wealth fund GIC and Tiger Global Management.

Source : Reuters

GLOBAL BUSINESS AND FINANCE MAGAZINE

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