Standard Chartered and GFO-X, operator of the centrally cleared digital asset derivatives trading venue, are partnering to provide a custody solution for using digital assets as collateral in a centrally cleared model.
GFO-X AD CCP, the market infrastructure operator, will provide institutional clients a clearing service while the custodian bank will provide off-exchange custody to enhance security and capital efficiency, notes a press release. The Go live is expected in the second half of 2026.
Together, the firms will enable institutional clients to utilise cryptocurrencies, tokenised money market funds, and other forms of digital assets as collateral for trading in a fully centrally cleared and credit intermediated model.
Global Futures and Options Abu Dhabi Exchange Limited and GFO-X Abu Dhabi CCP Limited (together, GFO-X AD) operate as a Recognised Investment Exchange (RIE) and a Recognised Clearing House (RCH) for digital assets, related derivatives, securities and ETFs.
Arnab Sen, CEO and co-founder of GFO-X, commented: “Allowing institutional clients to post digital assets as collateral will unlock a significant amount of pent-up demand for trading, in a fully credit intermediated format, in a highly regulated and cleared trading venue. Holding this collateral at a leading cross-border international bank is essential to enhancing risk management and reducing counterparty exposure.”
Margaret Harwood-Jones, global head, Financing & Securities Services, Standard Chartered, said: “We are proud to support this world-first development in institutional digital-asset derivatives. Our partnership with GFO-X demonstrates how trusted institutions can help shape a secure and scalable market structure – one that combines robust custody with central clearing and credit intermediation to enhance risk management and unlock responsible long-term-growth across the digital-asset ecosystem”.
