South Korean Bank KEB Hana Bank to Offer Digital Asset Custody Services Through Partnership With BitGo

Key Points:

• KEB Hana Bank is partnering with BitGo Trust Company to offer digital asset custody services
• The bank has a network of 111 branches and local banking assets of nearly $10 billion
• Hana Bank and BitGo plan to launch their joint cryptocurrency custody venture in the second half of 2024

South Korea's Korea Exchange Bank (KEB Hana Bank) is set to enter the digital asset custody market through a new partnership with major cryptocurrency custody firm BitGo Trust Company. The bank, which has 111 branches and local banking assets of nearly $10 billion, has signed a strategic agreement with BitGo to establish digital asset custody in South Korea. The news was announced by Hana Bank representatives at the Korea Blockchain Week conference on September 5.

The collaboration will result in the establishment of a joint venture utilizing BitGo's custody solutions and Hana Bank's financial service and compliance expertise. The partnership aims to strengthen trust in the domestic digital asset market and enhance consumer protection. BitGo CEO Mike Belshe emphasized the company's commitment to enhancing transparency and security in the South Korean digital asset industry.

Hana Bank and BitGo are planning to launch their joint cryptocurrency custody venture in the second half of 2024. This move comes after Hana Bank expressed interest in tokenized deposit technology as a potential alternative to private stablecoins and central bank digital currencies. In a report issued in July 2023, the bank explored the concept of "certificate of deposit" tokens, which could potentially replace traditional notes and deposits without disrupting the existing banking system.