Moving digital assets through regulated custody is one step; connecting that process to a bank’s financing operations is another. Komainu and First Abu Dhabi Bank (FAB) have completed instant transfers into and out of a regulated custody environment, putting a key part of their institutional digital asset framework into operation.
The companies announced the milestone on November 3, 2026. The transfers connect Komainu’s custody and connectivity services with FAB Global Markets’ existing infrastructure. Neither announcement disclosed the portfolio’s value or identified the digital assets involved.
The completed transfers demonstrate that FAB can move a portfolio of digital assets into regulated custody and withdraw it when required. This two-way capability is necessary for institutions that need to manage digital assets within established operational and governance procedures.
Komainu, which is backed by Laser Digital and Blockstream, provides regulated digital asset custody. Its framework with FAB is designed to integrate those services into the bank’s existing systems rather than require an entirely separate operating structure.
Paul Frost-Smith, Komainu’s group managing director, said the transfers showed that regulated custody could operate within a bank’s day-to-day systems. He added that institutional providers must understand both traditional financial controls and the operational requirements of digital assets.
The announcement confirms that the transfers were completed with instantaneous settlement. However, the firms did not provide transaction volumes, details of the assets involved, or figures showing how much institutional activity the framework has processed.
The development also supports FAB’s plans to expand financing services involving digital assets. In its announcement, the bank said its digital asset financing capabilities were available to institutional clients and that it was working toward its first transactions.
FAB identified digital assets used as collateral as an important component of this infrastructure, including potential digital asset-backed repurchase agreements. Such arrangements generally involve securities or other eligible assets being transferred under an agreement to repurchase them later.
The custody framework provides a route for eligible digital asset portfolios to be transferred into and out of custody. The firms have not disclosed the terms of any financing agreements, eligible collateral requirements, or a date for the first transaction.
(adsbygoogle = window.adsbygoogle || []).push({});The custody milestone forms part of FAB’s broader digital asset program, which includes work on tokenized deposits and Swift Ledger. These initiatives reflect the bank’s efforts to connect existing financial infrastructure with digital asset services.
For Komainu, the collaboration demonstrates how a regulated custodian can connect with a traditional bank’s operational systems. The next milestone will be whether FAB’s financing capabilities lead to completed client transactions.
For now, the firms have confirmed that two-way transfers are operational. The scale of future activity, the assets eligible for financing, and the value of any resulting transactions remain undisclosed.
