Standard Chartered Bank is making moves. News has emerged that through its subsidiary SC Ventures, it has begun serious consideration of providing cryptocurrency prime brokerage services for institutional investors.

According to Bloomberg reports, this plan is still in the preliminary stage, but if realized, it would mark one of the world's leading financial groups stepping into the digital asset space. A massive financial institution with approximately $389 billion in assets under management entering the prime brokerage business is certainly noteworthy.

What’s particularly interesting is why this is happening at this timing. It appears that regulatory considerations are a key factor behind this move. Under Basel III regulations, permissionless cryptocurrencies like Bitcoin and Ethereum are assigned a very strict risk charge of 1,250%. Holding these assets directly on the balance sheet would impose significant capital restrictions. Therefore, placing prime brokerage services under a venture capital umbrella could be a way to mitigate regulatory pressure.

Meanwhile, there are also reports that Standard Chartered recently downgraded its medium-term outlook for Ethereum. The end-of-2026 ETH price forecast was revised downward from $12,000 to $7,500. The end of 2028 forecast was lowered from $25,000 to $22,000. However, their long-term outlook remains bullish, with the 2030 target raised from $30,000 to over $40,000. This indicates confidence in the long-term growth potential of digital assets, despite short-term market softness.

Currently, ETH is trading around $2,060. It’s interesting that the bank’s long-term targets are so ambitious. The timing for launching prime brokerage services has not yet been finalized, but as more major financial institutions take similar steps, the overall market perception could shift.