Investment bank Citigroup has launched a new unit within its wealth management division tasked with handling cryptocurrencies and other digital assets.
Wall Street investment bank Citigroup has launched a new unit in its wealth management division dedicated to exploring the investment opportunities within the cryptocurrency and blockchain space.
The bank announced this yesterday, dubbing it the Digital Assets Group. The unit will function under the bank’s wealth management division, Citi Global Wealth Investments. Citigroup said, “Given the exciting new developments we are seeing around cryptocurrencies, tokenisation, and other advances powered by blockchain technology, we are pleased to announce the formation of the Digital Assets Group.”
Alex Kriete and Greg Girasole have been tasked with leading the new unit. This latest development makes Citigroup the latest investment bank to provide cryptocurrency services to its wealthy clients. Goldman Sachs and Morgan Stanley are some of the leading US investment banks that have already granted their wealthy clients exposure to Bitcoin and other cryptos.
Citigroup pointed out that Kriete and Girasole will work on developing investment products for their clients. The pair will also work together with Citigroup’s functional partners and the broader Capital Markets and Citi Investment Management teams to create a robust and scalable value proposition.
The investment bank has maintained an interest in cryptocurrencies for a while now. Last month, Itay Tuchman, an executive at the bank, revealed that Citigroup was exploring the possibilities of entering the cryptocurrency market. However, the bank was unsure of how it would offer cryptocurrency-related services to its clients.
The crypto market has gained adoption from several traditional banks in recent months. In addition to Goldman Sachs and Morgan Stanley increasing their presence in the market, banks such as BNY Mellon, JPMorgan and UBS are amongst those to have entered the market or discussed their interest.