The largest French bank is said to be ready to offer a digital asset custody service through a partnership with specialized Swiss company Metaco.
The first French bank will deal with cryptocurrencies
BNP Paribas, through its asset custody subsidiary BNP Paribas Securities Services, is on the verge of becoming a custody service provider for bitcoin and other crypto assets, according to Coindesk. The bank, a leading player in the eurozone, is said to have teamed up with digital asset custody company Metaco to build the right infrastructure.
It should be noted that the Swiss company has already provided its storage technology to another French bank, Société Générale, which also deals with the storage of cryptocurrencies. But beyond that, Metaco appears to be emerging as a top provider for organizations looking to get involved in the industry, offering “military security” cryptocurrency storage options that can be fully integrated into the bank’s core processes. Spanish BBVA, DBS, the largest bank in Southeast Asia, Union Bank Philippines, Zodia Custody and Citigroup have already used its services.
A service focused more on financial instruments
As the news has yet to be confirmed by stakeholders, we don’t have specific details on the nature of the proposal yet. But CoinDesk suggests, citing experience with partnerships with Société Générale or Citigroup, that the service offered may be more focused on security tokens or the tokenization of assets, stocks and other financial instruments rather than cryptocurrencies per se. In support of this thesis, the media quotes the CEO of Metaco in the front row to see the national trends.
The French market today is more focused on security tokenization than cryptocurrencies. Germany, on the other hand, is more focused on cryptocurrencies, while the Asian market is moving much faster towards decentralized finance and non-fungible tokens (NFTs).
Adrian Treccani, CEO of Metaco, at Coindesk
In any case, the event is important, given, like Coindesk, the amount of its assets under management.
Many major banks are moving into custody of cryptocurrencies, but what makes this deal especially significant is the position of BNP Paribas Securities Services as a major global custodian with nearly $13 trillion of assets in custody.
BNP Paribas Securities Services is due to announce this today.