Standard Chartered is preparing to launch a new crypto prime brokerage business aimed squarely at large institutional investors, according to people familiar with the initiative.
The project, known internally as Project37C, is being developed within SC Ventures, the bank’s wholly owned venture capital and innovation unit. Structuring the business this way allows the lender to expand its digital-asset services without placing crypto exposures directly on its main balance sheet.
Prime Brokerage Services for Institutions
Project37C is expected to deliver a full prime brokerage stack, including:
- Custody of digital assets
- Financing and leverage solutions
- Market access and execution services
The offering targets hedge funds, asset managers, and other professional investors seeking bank-grade infrastructure as they scale crypto exposure.
Regulatory Advantage Under Basel III
By housing the business inside SC Ventures, Standard Chartered avoids the Basel III capital penalties applied to “permissionless” crypto assets. Under current rules, assets such as Bitcoin and Ethereum can carry risk weights of up to 1,250% if held directly on a bank’s balance sheet, making traditional structures economically inefficient.
Building on an Expanding Crypto Footprint
The move builds on Standard Chartered’s growing digital-asset presence. In July 2025, the bank became the first global systemically important bank to launch spot crypto trading for institutional clients. It has also backed infrastructure players including Zodia Custody and Zodia Markets, strengthening its role across custody, trading, and settlement.
Market Context: ETF Capital Drives Demand
The push toward crypto prime brokerage reflects rising institutional demand, fueled by sustained capital inflows into Bitcoin ETFs and other regulated crypto products. As more traditional funds enter the market, demand for professional trading, financing, and custody services continues to accelerate.
If launched, Project37C would position Standard Chartered among the most advanced global banks bridging traditional finance and institutional crypto markets.
