Citi to Bring Bitcoin Into Traditional Banking

Citigroup is preparing a solution designed to bridge Bitcoin with traditional banking. The bank aims to enable institutions to securely store and manage cryptocurrency in the same way they handle stocks or bonds.

The plans were announced by Nisha Surendran, who leads digital asset development at Citi. She revealed that later this year the bank will launch infrastructure for institutional-grade Bitcoin custody, key management, and wallet services.

Citi has been working on the project for more than three years. During that time, the bank expanded beyond traditional payment networks and moved into blockchain-based technologies, responding to growing client demand.

Under the new model, Citi will directly custody clients’ cryptocurrencies. The service will operate under the same risk controls and reporting standards used for traditional securities. Bitcoin will be integrated into existing tax and reporting systems, allowing institutions to view both digital and traditional assets in a single dashboard.

Transactions will be processed through familiar channels such as SWIFT and API connections. Clients will not need to deal with the technical complexities of the Bitcoin network itself.

According to Citi’s representative, the next wave of crypto adoption is expected to come from traditional financial institutions that were previously discouraged by the complexity of emerging technologies.

The bank is also exploring the use of stablecoins and blockchain-based deposit tokens. The goal is to streamline cross-border payments and enable 24/7 fund transfers. Citi is further considering allowing Bitcoin to be used as collateral alongside traditional assets within a single account.