Absa Enters Digital Asset Custody Market with Regulatory Approval
Absa has become the first bank on the African continent to offer digital asset custody services after securing regulatory approval in South Africa. The Johannesburg-based bank's new service provides institutional clients with safekeeping, administration, and transfer of digital assets.
The initial clients include asset managers, non-bank financial institutions, and corporations. Currently, the service supports Bitcoin, XRP Ledger, Ethereum, and USDC. However, Absa plans to add other assets as client demand develops.
South Africa's custody market has grown significantly, reaching R25.3 billion by the end of 2024, according to data from the South African Reserve Bank. This represents approximately $1.5 billion. The bank aims to expand its service across other African markets once regulatory approvals are obtained.