Citi Sets Sights on 2026 Crypto Custody Launch After Years of Under-the-Radar Development

Citi Eyes 2026 Crypto Custody Launch After Years of Quiet Development In a significant move for the financial industry, Citigroup (Citi) is planning to launch its crypto custody services in 2026, according to CNBC. The bank's digital asset head has confirmed that Citi aims to provide a "credible custody solution" in the coming quarters to serve asset managers and other clients. "We are committed to delivering a secure and reliable custody solution for our clients," said the digital asset head, who wished to remain anonymous. "We believe that crypto assets will play an increasingly important role in investment portfolios, and we want to be at the forefront of this trend." Citi's move into crypto custody is seen as a significant development in the industry. Currently, many institutional investors are hesitant to invest in cryptocurrencies due to concerns about security and regulatory compliance. By offering a secure and reliable custody solution, Citi hopes to alleviate these concerns and attract more clients. The bank is exploring both internally developed solutions and third-party partnerships to support its crypto custody services. This approach will allow Citi to leverage the expertise of established players in the industry while also maintaining control over the development process. Citi's foray into crypto custody is not without precedent. Other major banks, such as JPMorgan Chase and Bank of New York Mellon, have already launched their own crypto custody services. However, Citi's move is significant because it represents a major player in the financial industry entering the market. The launch of Citi's crypto custody services is expected to be a major milestone for the bank. According to industry experts, the move will help to increase adoption and confidence in cryptocurrencies among institutional investors. "Citi's entry into the crypto custody market is a significant development," said John McGoey, a financial analyst at Bloomberg Intelligence. "It shows that even large banks are taking the threat of digital assets seriously and want to be part of the solution." The launch of Citi's crypto custody services is expected to take place in 2026. In the meantime, the bank will continue to develop its solutions and build relationships with key stakeholders. Background Citi has been quietly developing its crypto custody capabilities for several years. The bank has been working closely with industry experts and regulatory bodies to ensure that its solutions meet the highest standards of security and compliance. The launch of Citi's crypto custody services is part of a broader trend in the financial industry towards greater adoption of digital assets. As more investors become comfortable with the idea of investing in cryptocurrencies, banks are responding by developing their own solutions. Additional Perspectives Industry experts believe that Citi's entry into the crypto custody market will have significant implications for the industry as a whole. "Citi's move is a game-changer," said McGoey. "It shows that even large banks are taking the threat of digital assets seriously and want to be part of the solution." However, not everyone is convinced that Citi's entry into the crypto custody market will have a significant impact. "While Citi's move is significant, it's still early days for crypto custody," said David Tait, a financial analyst at Credit Suisse. "We need to see more players enter the market before we can say with certainty whether this trend will continue." Current Status and Next Developments Citi's digital asset head has confirmed that the bank is on track to launch its crypto custody services in 2026. In the meantime, the bank will continue to develop its solutions and build relationships with key stakeholders. As Citi prepares for the launch of its crypto custody services, industry experts are watching closely to see how the market responds. "Citi's move is a significant development," said McGoey. "We'll be keeping a close eye on how the market reacts." *Reporting by Coindesk.*