Digital and traditional asset custody
An American corporate investment banking services holding company — and one of the world’s largest custodian banks — was under pressure to include digital assets like cryptocurrencies in its custody services due to high client demand.
Due to the high level of interest from institutional investors seeking to hold digital assets, the client recognized the need to expand its asset management platform to include cryptocurrencies, such as bitcoin, as a new asset class. However, achieving this required a significant paradigm shift in the client’s internal systems and processes, as well as the introduction of blockchain technology.
Additionally, the client deemed application security, scalability, and adaptability as essential factors for the development of the new platform. To develop the platform it envisioned and to bring it to market quickly, they needed a development partner.
Given the potential risks of entrusting assets to unfamiliar institutions, institutional investors were seeking out established and traditional custodian banks, such as our client, to provide digital asset custody services. As a result, the client recognized the importance of supporting digital assets. Not doing so could have:
- Driven institutional investors to seek alternative options
- Caused the client to lag behind its competitors
Due to our extensive knowledge and experience in blockchain technologies, the client turned to us to help build the new asset management platform. We built a secure, scalable, and adaptable Web3 platform that:
- Facilitates the transfer and withdrawal of crypto assets from the custodial system, integrating with the public Bitcoin network and their internal Global Transactions Manager
- Keeps track of balances & position status of crypto assets and sends a multi-channel notification to asset owners when tractions occur
- Audits the sender and recipient info of transfers and withdrawals, similar to traditional SWIFT transfers, and records the information on the blockchain
- Enables a comprehensive screening process, including for KYT (Know Your Customer) and internal GSP data sanctions for transactions involving crypto assets
- Adheres to all compliance requirements
For an American corporate investment banking services holding company — and one of the world’s largest custodian banks, we enabled:
- Launch of the industry’s first multi-asset platform that bridges digital and traditional asset custody
- Secure infrastructure for transferring, safekeeping and issuing digital assets