Standard Chartered and OKX launch collateral mirroring programme
Standard Chartered and OKX, a leading cryptocurrency exchange and global onchain technology company, today announced the launch of a ground-breaking, world-leading collateral mirroring programme, enabling institutional clients to utilise cryptocurrencies and tokenised money market funds as off-exchange collateral for trading.
0
This initiative significantly enhances security and capital efficiency for institutional clients by using a Globally Systemically Important Bank (G-SIB) as the custodian for their collateral.
Margaret Harwood-Jones, Global Head of Financing and Securities Services at Standard Chartered said: 'We understand the critical importance of robust and secure custody solutions, especially in the evolving digital asset landscape, and our collaboration with OKX to enable the use of cryptocurrencies and tokenised money market funds as collateral represents a significant step forward in providing institutional clients with the confidence and efficiency they need. By leveraging our established custody infrastructure, we are ensuring the highest standards of security and regulatory compliance, fostering greater trust in the digital asset ecosystem.'
The collateral mirroring capability has been launched as a Pilot within the Dubai Virtual Asset Regulatory Authority's (VARA) regulatory framework, and it allows clients to benefit from enhanced protection against counterparty risk, a significant concern in the current digital asset markets. Standard Chartered acts as the independent, regulated custodian in the Dubai International Financial Centre (DIFC), regulated by the Dubai Financial Services Authority, ensuring the safe storage of the assets used as collateral, while OKX through its VARA regulated entity, manages collateral and facilitates transactions. Franklin Templeton will be the first in a series of money market funds that will be offered under the OKX-SCB programme.
Hong Fang, President of OKX, said: 'As the digital assets ecosystem becomes more ingrained within traditional finance, we strive to both drive growth and safeguard client assets in the most capital efficient manner. By leveraging Standard Chartered's position as a top custodian globally, as well as OKX's market leadership in cryptocurrency trading, the partnership sets an industry standard for current and potential institutional clients to deploy trading capital at scale in a trusted environment.'
Franklin Templeton, a recognised leader in tokenisation and real world assets (RWA), continues to innovate by leveraging blockchain technology to deliver cutting-edge solutions to customers and clients. Through this collaboration, OKX clients will gain access to on-chain assets developed by Franklin Templeton's Digital Assets Team, seamlessly integrating them into their financial and operational structures.
Roger Bayston, Franklin Templeton Head of Digital Assets, says: 'Leveraging blockchain technology, our platform is built to support the dynamic and ever-evolving financial ecosystem. We take an authentic approach, from directly investing in blockchain assets to developing innovative solutions with our in-house team. By ensuring assets are minted on-chain, we enable true ownership, allowing them to move and settle at blockchain speed - eliminating the need for traditional infrastructure.'
Brevan Howard Digital, the dedicated crypto and digital asset division of Brevan Howard, a leading global alternative investment manager, is among the first few institutions to onboard onto this pioneering programme, highlighting the importance of such capabilities being offered by a leading international cross-border bank and a highly reputable global exchange.
Ryan Taylor, Group Head of Compliance at Brevan Howard and CAO of Brevan Howard Digital, commented: 'This programme is the latest example of the continued innovation and institutionalisation of the industry. As a significant investor in the digital assets space, we are thrilled to partner with industry leaders to further grow and evolve the crypto ecosystem globally.'
Hashtags
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Reuters
4 hours ago
- Reuters
London stocks gain despite lingering US tariff uncertainty
May 30 (Reuters) - Britain's main indexes climbed on Friday, poised for weekly and monthly gains, despite a U.S. appeals court reinstating President Donald Trump's tariffs just a day after a trade court had ordered an immediate block on them. As of 1009 GMT, the blue-chip FTSE 100 (.FTSE), opens new tab rose 0.8% and was on track to end the month higher with three consecutive weeks of gains. The United States Court of Appeals for the Federal Circuit in Washington on Thursday temporarily reinstated Trump's duties while it considers the government's appeal, injecting more uncertainty into the market. The Trump administration has said negotiations with top trading partners have continued despite the trade court's block. Britain is the only country to have signed a deal. On the economic front, Bank of England policymaker Alan Taylor dismissed inflation concerns and called for lower interest rates. Taylor was one of the two members who had voted for a bigger half-point cut in May. The BoE had cut interest rates by quarter of a percentage point. Additionally, a survey showed that the British public's expectations for inflation over the year ahead fell in May to 4% from 4.2%. The domestically focussed mid-cap FTSE 250 (.FTMC), opens new tab was on-track for a second month of gains. It was up 0.6% on Friday. Investment banking and brokerage services sub-index (.FTNMX302020), opens new tab advanced 1.5%, with insurer and asset manager M&G (MNG.L), opens new tab rising 5.6% after Japan's Dai-ichi Life Holdings (8750.T), opens new tab said it plans to buy a 15% stake. Insurer Hiscox (HSX.L), opens new tab was up almost 1.4% after Berenberg re-initiated coverage with 'buy'. Later in the day, investors will closely monitor the U.S. Personal Consumption Expenditure data — the Federal Reserve's preferred inflation indicator — for clues on interest rate trajectory.
Wales Online
9 hours ago
- Wales Online
Minister says one group won't get Winter Fuel Payments despite U-turn
Minister says one group won't get Winter Fuel Payments despite U-turn Treasury minister Darren Jones said winter fuel payments will 'still be targeted' Darren Jones, Chief Secretary to the Treasury Millionaires should not get 'subsidy for their energy bills from the Government', a Treasury minister has said. Darren Jones has said that winter fuel payments will 'still be targeted to those that need it the most'. Sir Keir said at Prime Minister's questions last week that he wants to restore the payments to more pensioners, following pressure from campaigners, signalling a partial U-turn on one of Labour's first announcements in Government. He claimed that the UK's improving economic prospects could allow for the move at the next fiscal event. The partial U-turn came as ministers are continuing to face calls to scrap the two-child benefit cap. Speaking to Sky News on Thursday evening, Chief Secretary to the Treasury Mr Jones was asked about Reform UK's commitments on both the winter fuel and benefit cap policies. 'All of those things cost money,' Mr Jones said. 'It's right that we set out the detail and how we're going to pay for those in a proper and orderly way.' He added: 'We're sticking to the principle that millionaires shouldn't be getting subsidy for their energy bills from the government, so winter fuel payments will still be targeted to those that need it the most.' Mr Jones also touched on the Government's approach to child poverty, telling the same programme that 'we're a Labour government we want child poverty to be falling in this country, not rising'. 'Of course, we want to help families lift themselves out of poverty.' Last summer, Rachel Reeves announced that the previously universal winter fuel payment would be means-tested. The policy was blamed for the party's collapse in support since last year's general election, and campaigners were challenged about it on the doorsteps during May's local elections. Reform UK leader Nigel Farage confirmed earlier this week that his party would support scrapping the two-child benefit cap and also reverse the winter fuel payment cuts. Sir Keir said he is looking at 'all options' to drive down child poverty when asked if he would like to get rid of the two-child benefit cap on Thursday. Speaking on a visit to the North West, the Prime Minister said: 'There isn't a single bullet, but I'm absolutely determined that we will drive this down, and that's why we'll look at all options, always, of driving down child poverty.' Article continues below Conservative leader Kemi Badenoch has accused the Labour and Reform leaders of asking people to fund 'unlimited child support for others' by scrapping the two-child cap. Writing in the Daily Mail, she said that the Conservatives are the 'only serious party of sound money'. 'Britain deserves party leaders who don't treat economics like a branch of showbiz, an announcement for a nice headline and forget about the deficit,' she said.
ITV News
15 hours ago
- ITV News
Millionaires should not get subsidy for energy bills, says Treasury minister
'Millionaires' should not get 'subsidy for their energy bills from the Government', a Treasury minister has suggested. Darren Jones has said that winter fuel payments will 'still be targeted to those that need it the most'. Sir Keir said at Prime Minister's questions last week that he wants to restore the payments to more pensioners, following pressure from campaigners, signalling a partial U-turn on one of Labour's first announcements in Government. He claimed that the UK's improving economic prospects could allow for the move at the next fiscal event. The partial U-turn came as ministers are continuing to face calls to scrap the two-child benefit cap. Speaking to Sky News on Thursday evening, Chief Secretary to the Treasury Mr Jones was asked about Reform UK's commitments on both the winter fuel and benefit cap policies. 'All of those things cost money,' Mr Jones said. 'It's right that we set out the detail and how we're going to pay for those in a proper and orderly way.' He added: 'We're sticking to the principle that millionaires shouldn't be getting subsidy for their energy bills from the government, so winter fuel payments will still be targeted to those that need it the most.' Mr Jones also touched on the Government's approach to child poverty, telling the same programme that 'we're a Labour government we want child poverty to be falling in this country, not rising'. 'Of course, we want to help families lift themselves out of poverty.' Last summer, Rachel Reeves announced that the previously universal winter fuel payment would be means-tested. The policy was blamed for the party's collapse in support since last year's general election, and campaigners were challenged about it on the doorsteps during May's local elections. Reform UK leader Nigel Farage confirmed earlier this week that his party would support scrapping the two-child benefit cap and also reverse the winter fuel payment cuts. Sir Keir said he is looking at 'all options' to drive down child poverty when asked if he would like to get rid of the two-child benefit cap on Thursday. Speaking on a visit to the North West, the Prime Minister said: 'There isn't a single bullet, but I'm absolutely determined that we will drive this down, and that's why we'll look at all options, always, of driving down child poverty.' Conservative leader Kemi Badenoch has accused the Labour and Reform leaders of asking people to fund 'unlimited child support for others' by scrapping the two-child cap.
