LMAX Group has appointed Standard Chartered as its digital asset custodian in Luxembourg and Dubai, becoming the first client to use the bank’s European custody platform since it received authorisation under the Markets in Crypto-Assets regulation in June.

The deal expands an existing partnership between the two firms, which in July completed what they described as the industry’s first live digital asset prime brokerage trades.

Standard Chartered will provide custody services through its Dubai International Financial Centre branch, which is regulated by the Dubai Financial Services Authority, and through Standard Chartered Luxembourg. The arrangement is designed to support LMAX Group’s institutional client base across the Middle East and Europe.

The two companies said they are also exploring the development of off-exchange custody solutions that would allow traders to access digital asset markets while keeping their holdings with a regulated custodian. Such arrangements are seen as important for attracting institutional investors who require their assets to be held separately from trading venues.

Standard Chartered obtained its MiCA authorisation in Luxembourg in June, part of a broader push by traditional banks to offer digital asset services as the European Union’s new regulatory framework for crypto-assets comes into effect.