Citigroup the Latest Wall Street Giant to Launch Digital Assets, Blockchain-Focused Business Unit
Citigroup is poised to enter the volatile crypto waters.
Citigroup Launches Crypto Dedicated Business Unit
According to a memo obtained by The Block, Wall Street behemoth Citigroup has officially launched a new business offshoot focused on the cryptocurrency and blockchain space.
The banking giant announced today the launch of Digital Assets Group, a new group that will be a part of Citigroup’s wealth management division called Citi Global Wealth Investments, the memo says.
The memo reads in part:
“Given the exciting new developments we are seeing around cryptocurrencies, tokenization, and other advances powered by blockchain technology, we are pleased to announce the formation of the Digital Assets Group.”
The memo adds the newly unveiled digital assets unit will be led by Alex Kriete and Greg Girasole. With this development, Citi has become the latest major financial institution to join the crypto bandwagon.
Wall Street Steadily Warming Up to Crypto
With Citigroup’s entry into the crypto landscape, the industry continues to get increasingly congested with large financial institutions keen on offering digital assets services to their clients.
As previously reported by BTCManager, filings with the SEC indicated that U.S.-based multinational investment corporation BlackRock held a considerable amount of bitcoin (BTC) futures during early 2021.
Similarly, in March this year, Morgan Stanley announced in a report that digital currencies are getting mighty closer to establishing themselves as an investible asset class.
The report read in part:
“For speculative investment opportunities to rise to the level of an investable asset class that can play a role in diversified investment portfolios requires transformational progress on both the supply and demand sides.”
On a similar note, BTCManager reported in April that New York-based JPMorgan Chase & Co. revealed it would soon offer an actively managed bitcoin fund to private wealth clients. This U-turn by the banking giant came four years after its CEO dubbed bitcoin “a dangerous fraud.”
On a recent note, BTCManager reported on June 19 that Goldman Sachs had joined forces with Mike Novogratz’s Galaxy Digital to offer bitcoin investments services to its accredited clients.
At press time, bitcoin is exchanging hands at $34,468, according to data from CoinGecko.