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Citi Considers Launching Bitcoin Custody, Crypto Trading

Major currency trading bank Citigroup Inc. (NYSE: C) is considering the launch of services dedicated to Bitcoin (CRYPTO: BTC) and other crypto assets.

05/07/2021 12:39

Major currency trading bank Citigroup Inc. (NYSE:C) is considering the launch of services dedicated to Bitcoin (CRYPTO: BTC) and other crypto assets.
What Happened: According to The Financial Times report, Citigroup's global head of foreign exchange Itay Tuchman said that the bank is considering launching Bitcoin and other crypto services due to surging interest in Bitcoin from asset managers and hedge funds.

He admitted that the institution has not yet decided whether it intends to launch those products but admitted that custody and financing were all under consideration.

“There are different options from our perspective and we are considering where we can best service clients,” Tuchman said.

The bank saw a "very rapid" accumulation of interest in Bitcoin from its customers, including large asset managers.Some of those customers asked the bank for research, while other requested the launch of cryptocurrency trading services and to finance deals with their crypto assets.

While the Citi executive admitted the bank's interest in launching this kind of services, he said that the institution "shouldn’t do anything that’s not safe and sound."

He said that being among the first is not a priority and the bank will participate in the crypto market when it is confident of the product's value and regulatory support.

See also: JPMorgan's Jamie Dimon Still 'Doesn't Care About Bitcoin,' Even If His Clients Are

Tuchman also added that he believes there's plenty of time to launch crypto support.

"I believe that crypto is here to stay and that we are just at the very beginning of the market. [...] This isn’t a space race. There is room for more than just one flag.”

The report follows America’s oldest bank, Bank of New York Mellon Corp (NYSE: BK), launching its custody service dedicated to Bitcoin and other crypto assets in February.