Set for go-live in 2024, the custody service will complement HSBC Orion, the London-based bank’s platform for issuing digital assets, as well as a recently introduced offering for tokenized physical gold, HSBC said in a statement. “We’re seeing increasing demand for custody and fund administration of digital assets from asset managers and asset owners, as this market continues to evolve," says Zhu Kuang Lee, chief digital, data and innovation officer, Securities Services, HSBC. "Through key partnerships, HSBC is delivering the next-generation custody infrastructure that will be scalable and secure."The bank stresses that the plans for its custody unit do not involve safekeeping of cryptocurrencies or stablecoins, but instead will focus on tokenized securities issued on third party platforms, such as public blockchain compatible tokenized bonds or tokenized structured products.“I’m excited by the forthcoming launch of our new custody service for digital assets, which will complement HSBC Orion, our platform for issuing digital assets, as well as our recent launch of tokenised physical gold," says John O’Neill, global head of digital assets strategy, markets and securities services, HSBC. "These services underscore HSBC’s commitment to the overall development of digital asset markets.”