Citi plans to launch institutional digital asset custody services later this year, starting with Bitcoin. The $3 trillion bank unveiled its Custody+ suite for institutional investors, a move that comes amid massive demand for custody services from institutions.
Custody+ at a glance
Citi hasn't revealed many details about the Custody+ suite beyond its name and the fact that it's aimed at institutional investors. What's known: the initial rollout will cover Bitcoin, and the service is scheduled to go live later this year. The bank hasn't said which other digital assets might be added, or what the fee structure looks like.
Why custody is the bottleneck
Institutional interest in crypto has grown, but custody has long been a sticking point. Funds and asset managers need a place to store assets that meets their security and compliance standards, and that's not easy to build in-house. Citi's move is a bet that banks can fill that gap. The demand is clearly there — the bank says so itself.
Citi's weight in the market
With $3 trillion in assets, Citi is a heavyweight. Its entry into crypto custody is a signal that the asset class is moving further into the mainstream financial system. Starting with Bitcoin makes sense — it's the most liquid and widely held digital asset, and the one most institutions are comfortable with.
The launch is slated for later this year, but no exact date has been announced. Whether Citi expands beyond Bitcoin will likely depend on how the initial service performs. For now, the bank is dipping a toe into crypto custody — with a very big toe.
