ING Bank Spins Off Its Crypto Custody Platform to GMEX Group

ING Bank Spins Off Its Crypto Custody Platform to GMEX Group

ING Bank Spins Off Its Crypto Custody Platform to GMEX Group

Pyctor will continue to work with the Dutch bank.

Pyctor will continue to work with the Dutch bank.

Pyctor will continue to work with the Dutch bank.

AccessTimeIconJul 11, 2022 at 7:24 a.m. UTC
Updated Jul 11, 2022 at 3:06 p.m. UTC

Netherlands-based ING Bank has spun off Pyctor, its cryptocurrency custody and post-trade infrastructure platform, to GMEX Group, a trading infrastructure firm that specializes in digital assets.

GMEX CEO Hirander Misra was appointed chairman of Pyctor, which will continue to work with ING, according to a press release. Financial terms of the deal weren't disclosed.

Pyctor was incubated in ING Neo’s Amsterdam innovation lab. It combines hardware-based security favored by banks with software-based "sharding" of keys used to move digital assets, a process that's known as "multi-party computation."

Misra said the move was comparable with JPMorgan Chase spinning off Quorum, a private blockchain that was split from the Ethereum blockchain, to ConsenSys, a Brooklyn, N.Y.-based crypto firm.

For its part, GMEX formed a partnership with Amazon Web Services last December to help provide cloud-based trading.

“It made sense for ING to spin Pyctor out and then it becomes much more neutral,” Misra said in an interview. “We’ve got a strong go to market with the likes of AWS and others, and the bank can capitalize on that. These networks are all about wider adoption, so getting beyond a single player or a small set of players.”

Hervé Francois, the digital assets lead at ING Bank, who was also CEO of Pyctor for four years, told CoinDesk that he is leaving ING.


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Ian Allison is an award-winning senior reporter at CoinDesk. He holds ETH.