Citigroup's Digital Asset Strategy: Citigroup is planning to enter the digital asset market by exploring stablecoins and cryptocurrency custody solutions, following new U.S. legislation that allows banks to issue stablecoins backed by risk-free assets. This move aims to enhance their payment services and align with regulatory requirements.
Blockchain Innovations and ETF Custody: The bank is leveraging blockchain technology for instant transfers of tokenized U.S. dollars and is also looking into custody solutions for cryptocurrency exchange-traded funds (ETFs), which could intensify competition in the custody market dominated by Coinbase.
