Citi will launch its Bitcoin custody service by year-end

The banking sector continues its entry into digital assets, with Citi preparing a service dedicated to institutional investors. The bank specifically plans to launch a native bitcoin custody offering for large institutional investors before the end of 2026, integrated into its securities services platform. With Custody+, Citi aims to combine traditional custody, risk management, compliance, and digital assets in a single environment. The project marks a milestone in the integration of cryptocurrencies into institutional operations.

Citi gears up for integrated digital asset custody

The new service is part of Custody+, a modular suite presented by Citi on August 18. This offering gathers eight functionalities related to speed, security, analysis, and infrastructure. Bitcoin custody is included in this last category, with a white-label platform for institutions. Citi therefore plans to begin its deployment with custody of BTC.

The approach relies on integration with existing financial services. Clients will find both traditional custody and cryptocurrency custody on the same platform. They will maintain a common account structure and tools for reporting, risk, and compliance. Citi thus wants to limit the separation between digital assets and traditional portfolios.

According to Amit Agarwal, head of custody at Citi, institutional investors no longer want to manage their digital assets separately from their traditional records. The group presents Custody+ as the result of a program launched several years ago. This infrastructure is designed to support clients’ strategies and simplify their operations. Digital holdings will not rely on an external wallet in this offering.

Three years in the making: Citi’s crypto custody finally arrives

Citi had already set a goal for 2026 during an interview given to CNBC in October 2025. Biswarup Chatterjee explained then that the bank had been working on this activity for two to three years. The project initially focused on custody of stablecoin reserves and crypto ETF-related assets. The launch thus extends an ongoing roadmap.

This strategy is part of an investment program devoted to Citi’s service platform. Chris Cox indicates the bank invests more than 2 billion dollars per year in this strategy. Custody+ aims notably to reduce delays for institutional clients. Digital custody is added to the financial infrastructure developed by Citi.

The timeline coincides with the final deployment of Citi’s SEP technology in the United States. This solution has reduced voluntary securities transaction times by up to 92%. Now, 96% of these operations complete in less than two hours. More than 80% of the total volume benefits from real-time processing.

Digital infrastructure that goes way beyond bitcoin

The new setup is not limited to bitcoin custody. The suite includes real-time asset management, instant settlements with central depositories, and on-demand foreign exchange. It also integrates real-time liquidity and treasury. Citi adds AI-driven tax tools, Market Guide, and data access via cloud and APIs.

Citi also integrates Citi Token Services, its private and secure blockchain infrastructure operational since 2024. This technology allows near-instantaneous transfers of tokenized deposits, 24/7 in some markets. The system joins continuous-dollar clearing and euro settlement from Dublin. In July 2026, Siam Commercial Bank became the first external bank to use the combined platform.

Moreover, the bank participates in several projects aimed at building an interbank infrastructure for digital assets. It joined Swift’s blockchain register pilot project, gathering 17 banks. It also participates in the tokenized deposit network developed with JPMorgan, Bank of America, and Wells Fargo through The Clearing House. This direction places custody within a broader set of financial services.

The bank enters a market where several major banks have strengthened their digital offerings. BNY Mellon has an institutional platform after obtaining a SAB 121 exemption in 2024. The bank then expanded its capabilities to holding, issuance, and redemption of Circle’s USDC. US Bank resumed its bitcoin custody in September 2025 with NYDIG as sub-custodian and added Bitcoin ETFs to its offering.

Other players are also making progress. State Street announced its intention to develop cryptocurrency custody business in 2026. Standard Chartered is working on the full integration of its subsidiary Zodia Custody. The market thus brings together global banks, traditional custodians, and digital asset specialists. This diversity intensifies competition among institutional infrastructures.

For Citi, the challenge will notably rest on its global securities services network present in over 100 markets. Unified reporting for multiple asset classes is a central element. Custody+ thus aims to address the fragmentation problem associated with cryptocurrency operations. The bank will have to convince institutions already equipped by competitors or specialists.

The launch planned before the end of 2026 will allow the place of this infrastructure in institutional finance to be measured. Citi bets on a unified platform, common controls, and connection with its services. Competition will remain structured around several major existing players. For bitcoin, this evolution could strengthen its operational integration in financial infrastructures intended for institutional investors.