One of the biggest banks in the world, HSBC, has stated that it will be introducing a digital asset custody service for institutional investors in tokenized securities as per latest #cryptonews .

The service will launch in 2024 as a collaboration between Metaco, a Swiss corporate IT company, and its institutional platform, Harmonise.

Digital assets kept on a #blockchain that mimic regulated securities like bonds are known as tokenized securities.

After the announcement of a similar plan in 2021 by the US banking giant BNY Mellon, HSBC is the most recent significant institution to adopt digital asset custody. The financial institution is "seeing increasing demand for custody and fund administration of digital assets from asset managers and asset owners, as this #crypto market continues to evolve"

The new custody service will be in addition to HSBC's recently introduced tokenized physical gold offering and HSBC Orion, the bank's platform for issuing #cryptocurrency digital assets.

Through email, Metaco CEO Adrien Treccani informed CNBC that the collaboration demonstrates the company's "continuous momentum working with top-tier financial institutions."

According to Zhu Kuang Lee, Chief Digital, Data, and Innovation Officer at HSBC for Securities Services, the bank is dedicated to the general advancement of digital asset #Cryptocurrencies markets.