Regulated digital money in Asia is moving from trials into early production, with several markets now supporting stablecoins, tokenisation pilots and wholesale settlement testing. Standard Chartered operates in this environment through a broad portfolio of activities, including institutional crypto custody, digital asset trading, tokenised fund and bond pilots, stablecoin on- and off-ramping and payment trials, as well as tokenised deposit infrastructure. Much of this work was delivered through independently governed ventures backed by the bank, including Zodia Custody, Zodia Markets and Libeara. Each venture has its own commercial roadmap and regulatory framework. Standard Chartered has stated that it develops these capabilities, adopting them from its ventures where they align with the venture roadmap, client needs and local regulatory requirements. Each venture is treated separately, recognising the distinct technological, regulatory and operational considerations across custody, trading, settlement, tokenisation and interoperability. Custody is the most mature activity, trading is available for selected crypto assets, tokenised fund and bond pilots are progressing through Libeara and Project Guardian, and payments-related activity remains in early-stage testing. Danielle Szetho, head of digital asset portfolio and governance, oversees delivery of this strategy across the bank. She explains: “We truly believe that digital assets will be a permanent part of the future financial system. This belief is shared from the CEO through to the broader organisation. We've been investing in building digital asset capabilities across the bank, not only through ventures but now across our corporate investment and global retail banking businesses.” This view shapes the bank’s roadmap as it applies blockchain innovation to regulated finance. Integrating ventures into core banking functions Standard Chartered structures its digital asset roadmap around five operational pillars: access, execution, custody, tokenisation and interoperability. The pillars provide an operating model that links the bank’s ventures, internal platforms and regulatory work, guiding how capabilities are scaled across markets. Access focuses on enabling institutional participation in digital asset markets. Execution covers the processes required to settle tokenised instruments efficiently. Custody ensures secure safekeeping of digital assets. Tokenisation supports the creation of digital representations of financial instruments. Interoperability concentrates on connecting systems across chains and jurisdictions so assets can move securely between networks. Together, the five pillars provide the structure through which the bank organises its digital asset initiatives. The bank acts as the parent institution for ventures such as Zodia Custody, Zodia Markets and Libeara. These platforms provide technical knowledge and operational models that feed back into the bank’s core business lines. Szetho says this cross-learning approach has helped shorten development cycles and accelerate product delivery in selected areas. “It’s not a question of whether something belongs in the bank or in a venture,” she says. “We look at the client profile and demand, determine which capabilities are adaptable and assess when it makes sense to integrate them into the bank.” The five pillars are fully integrated into existing business functions rather than being isolated in standalone innovation units. Standard Chartered aims to deliver services with risk controls and reliability similar to those used in traditional areas such as foreign exchange and securities. Progress in scaling these services depends on consistent regulation and clear prudential treatment. Engaging regulators across multiple jurisdictions Expanding digital asset operations across multiple markets demands sustained engagement with regulators. Regulatory clarity determines how much capital banks must hold against tokenised or crypto-based exposures, shaping participation and profitability. Szetho observes that while global rules remain uneven, institutions are no stranger to fragmented regulations. She adds that the emergence of regulatory frameworks in markets such as Singapore, Hong Kong, the United States (US) and the European Union (EU) is a positive development that supports broader adoption. Clear rules provide confidence for institutional engagement and enable digital assets to be brought onto the balance sheet under regulated conditions. Among recent developments, the EU’s Markets in Crypto-Assets (MiCA) regime is now in force, providing legal certainty for crypto asset issuance and service provision. Singapore has delayed implementation of the Basel III capital treatment for crypto assets but is accelerating tokenisation through initiatives like Project Guardian. Hong Kong is progressing its own frameworks for virtual asset service providers and stablecoin licensing, aligning with global standards while maintaining competitiveness. Szetho says the incoming Basel prudential standards for the treatment of crypto-assets have led to significant internal work. “We had to understand how they would affect our exposure to crypto and tokenised assets, and how far we could participate safely.” According to Szetho, early investment in risk frameworks enabled faster adaptation. “Because we built these frameworks early, we can respond faster to new rules and operate within regulated limits with confidence.” Standard Chartered says it engages with regulators to explain network governance and controls, and to ensure regulatory design reflects operational realities. “We help supervisors understand the risks and how we mitigate them, whether it’s on public or private chains.” Developing infrastructure for stablecoins and tokenised deposits Szetho describes stablecoins and tokenised deposits as two distinct but related forms of digital value. She says the bank’s approach is guided by client demand: “If our clients want to hold or move value via stablecoins or tokenised deposits, we will build the capability to support a seamless and interoperable experience with other digital forms of money.” Tokenised deposits operate within permissioned networks where all participants are known and pre‑verified, providing efficiencies for internal or single‑bank use cases. Public stablecoins operate across wider ecosystems and support activity that spans borders and multiple institutions, an area where much of the market’s early momentum is emerging at this time. The bank is building infrastructure to support both forms, aiming to give clients options that reflect their regulatory, operational and liquidity needs. Improving cross-border movement through interoperability Szetho identifies interoperability as central to the next stage of market infrastructure. She defines this as the ability for digital assets to move securely across platforms and jurisdictions. She notes that some industry participants focus on atomic settlement, where transactions occur simultaneously, but this requires participants to align and agree on the underlying operational processes so that on-chain actions can interoperate. “We are still some way from achieving that level of synchronisation,” she says. “In the near term, what matters is having the right infrastructure, reliable on and off-ramps, and clear rules that allow assets to move safely between markets.” The bank is applying experience from correspondent banking to this effort. Szetho notes that every country already operates its own payment systems, and digital assets will follow a similar path. “Our job is to connect those rails seamlessly and cost-effectively for clients,” she says. Managing operational risks across public and private chains Operating across permissioned and public blockchains introduces new layers of risk. Szetho explains: “On a private network, every participant is known, the know-your-customer (KYC) is complete, and if a transaction goes wrong it can be reversed. On a public chain, you have limited control and you rely on the broader community to make changes.” These conditions require safeguards. “If you send assets to the wrong wallet address, you may never get them back. That is why we have built and continue to evolve controls around how we load, verify and send wallet information,” she explains. The bank is refining these tools to meet the standards expected in regulated finance. “We’re all learning how to create the same client experience and risk profile that’s expected in traditional finance,” she says. Positioning digital assets within the wider banking model Standard Chartered’s digital asset strategy demonstrates how a global bank can convert experimentation into institutional capability. By embedding digital assets into its operating model rather than isolating them in innovation units, the bank aligns emerging market infrastructure with regulated finance. Its combined framework of ventures, risk management and regulatory engagement provides a pathway for integrating blockchain-based tools into balance-sheet operations. This reflects a broader shift across the banking sector. Digital assets are moving into the core architecture of global finance. As jurisdictions formalise frameworks for tokenisation, stablecoins and programmable deposits, banks will need to develop foundational capabilities in custody, trading and interoperability. The challenge lies in achieving scale and standardisation while maintaining the trust, control and stability that define the banking system.
