London, November 21, 2023- HSBC has announced that it will be launching storage services for tokenized securities. The service will be offered to institutional clients and will be available in 2024. The service will be provided in partnership with Metaco, a Swiss digital asset custody firm.1 HSBC is the latest major bank to enter the digital asset space. Other banks that have launched similar services include BNY Mellon, State Street, and JPMorgan Chase. The launch of HSBC’s custody service is seen as a sign of the growing demand for tokenized securities.
Tokenized securities are digital assets that represent traditional financial assets, such as bonds and stocks. They are traded on blockchain networks and offer a number of advantages over traditional securities, such as increased liquidity and fractionalization.
HSBC’s custody service will provide institutional investors with a secure and compliant way to store their tokenized securities. This will help to make the tokenized securities market more attractive to institutional investors and could lead to a wider adoption of tokenized securities.
The launch of HSBC’s custody service is a positive development for the tokenized securities market. It is a sign that major banks are taking the market seriously and are willing to invest in the infrastructure that is needed to support it.
This could lead to a wider adoption of tokenized securities and could help to transform the financial industry.
- Reuters: https://www.reuters.com/technology/hsbc-plans-custody-service-non-crypto-digital-assets-2023-11-08/ [↩]
