State Street Expands Crypto Offerings in New Partnership With Real World Assets-Focused Firm Taurus: Report

State Street is announcing a new collaboration with Swiss cryptocurrency firm Taurus to introduce digital asset services to institutional investors.

According to Reuters, the partnership will enable State Street to offer custody services for cryptocurrency holdings and assist in creating tokenized versions of traditional assets, such as funds and securities.

The service targets asset management clients looking for support in tokenizing their funds, though no specific launch date has been announced.

In its recent proof-of-concept run, Taurus used oracle service Chainlink’s (LINK) cross-chain interoperability protocol (CCIP) to move stablecoins over different chains.

State Street aims to become a custodian for crypto assets in addition to tokenization, a role usually undertaken by cryptocurrency exchanges or wallet providers, according to the report. The bank is currently waiting for regulatory clarity on crypto custody accounting before moving forward in this area.

Says Donna Milrod, State Street’s chief product officer,

“We need to provide our clients the ability to deal with both traditional finance as well as (digital assets) side by side.”

The announcement comes as institutional interest in cryptocurrencies surged this year, driven by the introduction of several spot Bitcoin (BTC) and Ethereum (ETH) exchange-traded funds (ETFs).

 

Disclaimer: Opinions expressed at The Daily Hodl are not investment advice. Investors should do their due diligence before making any high-risk investments in Bitcoin, cryptocurrency or digital assets. Please be advised that your transfers and trades are at your own risk, and any losses you may incur are your responsibility. The Daily Hodl does not recommend the buying or selling of any cryptocurrencies or digital assets, nor is The Daily Hodl an investment advisor. Please note that The Daily Hodl participates in affiliate marketing.

Generated Image: Midjourney