Citi is actively preparing to launch infrastructure that will integrate Bitcoin into traditional financial systems, with bank executive Nisha Surendran announcing the initiative at Strategy World, an industry event hosted by Bitcoin treasury firm, Strategy.

Surendran, who heads digital asset custody development at Citi, outlined the bank's plan to provide institutional-grade custody, key management, and wallet services, all central to Citi's broader goal of making Bitcoin "bankable."

The bank's approach follows a three-pronged strategy, focusing on core custody and safekeeping capabilities, seamless integration with existing reporting and tax systems, and simplified client access to digital assets by handling complex technical aspects such as wallet management and private keys.

The rollout is expected later this year, enabling clients to manage their Bitcoin positions alongside their traditional assets with ease and security.

This integration is particularly notable given Citi's substantial scale, managing approximately $30 trillion in client assets across various securities and money market products.

By extending its established reporting channels, tax workflows, and compliance frameworks to Bitcoin holdings, Citi provides a familiar and trusted environment for institutional clients, poised to alleviate the operational complexities typically associated with cryptocurrency management.

In related developments, Citi analysts had previously forecasted that Bitcoin could reach $143,000 in 2026, with a bullish scenario potentially pushing it above $189,000 and a bearish case around $78,500.

These projections were based on factors such as increased adoption through ETFs and supportive U.S. regulation, though Bitcoin has since traded below $67,000, experiencing some fluctuations after recent gains.

Complementing Citi's efforts, fellow Wall Street giant Morgan, Stanley also announced plans to expand digital asset offerings at Strategy World, set to launch a native crypto custody and exchange platform.

This move aligns with a broader trend among major financial institutions recognizing the increasing demand for secure and integrated digital assetservices.

Morgan Stanley's phased approach will initially allow E-Trade clients to buy and sell spot cryptocurrencies through a strategic partnership, with a fully integrated platform anticipated within the next year.

The firm is also exploring crypto yield and lending products, leveraging its impressive $8 trillion asset base to consolidate off-platform holdings onto its integrated platform, thereby enhancing its comprehensive digital asset ecosystem.