Nasdaq Launches Institutional Custody Service for Cryptocurrencies: Report

Nasdaq is said to be planning to launch its own crypto-custodian service as Wall Street tries to attract the interest of institutional investors during the ongoing crypto winter.

According to the sources I spoke Neighborhood And the BloombergWill the exchange provider initially provide custodial services Bitcoin And the Ethereum For institutional investors, such as hedge funds. Nasdaq has hired former Gemini Prime president Ira Auerbach to lead the new division, called Nasdaq Digital Assets.

This move will put the stock exchange operator in competition with the likes Currency base and BitGo, as well as companies such as BNY Mellon and State Street.

View cryptocurrency on NASDAQ

The offering, subject to regulatory approval, complements the existing NASDAQ offering that aims to cement its position in the cryptocurrency industry. Nasdaq CEO Tal Cohen said the company already provides security and monitoring tools for crypto companies but will not move to offering cryptocurrency exchange services for now. Bloomberg.

Wall Street firms appeared unfazed by the recent slump in cryptocurrency, buoyed by strong interest from institutional investors. Black stone Cooperated with Coinbase in August to offer its clients Bitcoin trading as well as its Bitcoin investment product. JPMorgan Chase built one recently Blockchain based trading platformAnd Goldman Sachs To follow suit.

Charles Schwab and Fidelity, among others, supported the new exchange edx marketswhich will start operating later this year.

Institutional investors have been understandably reluctant to enter the crypto space, due to several well-publicized hacks during crypto’s short history. Cryptocurrency custodian services promise an increased level of security by providing custodial services to organizations holding large amounts of cryptocurrency.

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