Citi to Launch Institutional Bitcoin Custody by Year-End

The rollout of Bitcoin custody represents a significant shift in how the bank services institutional portfolios. Rather than isolating cryptocurrency in a siloed product, Citi intends to weave Bitcoin support directly into the infrastructure used for traditional securities. This approach allows asset managers to handle reporting, tax documentation, and portfolio control for both Bitcoin and conventional assets within one environment. The move follows years of internal development, with the bank balancing proprietary technology with potential third-party solutions to meet the demands of sophisticated investors.

Custody+ operates on the bank’s updated Single Event Processing (SEP) system, which currently handles over 80% of asset-servicing volume in real time. By leveraging this infrastructure, Citi has already achieved substantial efficiency gains, including a 92% reduction in processing times for certain corporate actions. Chris Cox, head of Investor Services at Citi, noted that the bank directs more than $2 billion annually toward its platform strategy to eliminate latency for clients. While Bitcoin is the initial cryptocurrency supported, the platform is designed to scale as the bank expands its broader tokenization efforts, which recently included plans for tokenized depositary receipts linked to private company shares.