HSBC Partners with Ripple's Metaco for Token Custody

9/11/2023

HSBC is collaborating with Metaco, a tech firm owned by Ripple, to develop an institutional custody platform for tokenized securities, often referred to as security tokens. This platform, part of HSBC's digital asset offering, is set to be introduced in 2024. HSBC aims to address the growing demand from asset managers and owners for custody and fund administration of digital assets. It should be noted that this custody service will cover security tokens and not cryptocurrencies like Bitcoin. HSBC's foray into tokenized securities follows its successful testing of tokenized deposits in partnership with Ant Group, a Chinese financial services provider.

This initiative highlights HSBC's commitment to digital asset market development and innovation, positioning the bank to serve institutional clients seeking security token custody and other digital asset services. HSBC's move into the tokenized securities space underscores the evolving landscape of digital assets and the need for secure, regulated solutions to cater to institutional demands.

Resource: https://cointelegraph.com/news/hsbc-ripple-metaco-security-token-custody