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Major U.S. Bank With $686 Billion Assets Introduces Bitcoin Custody and ETF Services

Major U.S. Bank With $686 Billion Assets Introduces Bitcoin Custody and ETF Services

U.S. Bank has officially resumed its cryptocurrency custody services for institutional clients, now including support for bitcoin ETFs. The bank is partnering with NYDIG as a sub-custodian, citing a clearer regulatory framework for the relaunch.

BTC

Summary

U.S. Bank announced it has officially resumed its cryptocurrency custody services for institutional investment managers, expanding its offering to include custody for bitcoin ETFs. The service, first launched in 2021, is being reintroduced with NYDIG as the primary bitcoin sub-custodian, citing a clearer regulatory framework. The program is initially available as an early access offering for the bank's Global Fund Services clients. This move follows a pause due to previous SEC requirements that have since been rescinded, positioning the bank alongside competitors like BNY Mellon and Fidelity in offering digital asset services.

Terms & Concepts
  • Bitcoin Custody: Secure storage and management of clients’ Bitcoin by a regulated institution, including safekeeping, settlement, and compliance controls.
  • Bitcoin ETF: An exchange-traded fund that holds Bitcoin, providing price exposure via traditional markets without investors holding the asset themselves.
  • NYDIG: A financial services and technology firm specializing in Bitcoin, providing custody and infrastructure solutions for institutional clients.