San Francisco-based Coinbase has recently proclaimed the unveiling of a wide range of products designed exclusively meant to entice institutional organizations to the briskly evolving cryptocurrency and blockchain ecosystem.
San-Francisco cryptocurrency exchange Coinbase has launched a suite of institutional products meant to target larger players in the investment market such as hedge funds.
Citing the plans of over 100 hedge funds that have revealed plans to trade in cryptocurrencies in the past few months alone, Coinbase says that a shift in the market has prompted a growing need to cater for high-end clients and institutions interested in the emerging investment opportunities cryptocurrency offers.
"As institutions continue to enter the cryptocurrency market, we are committed to building the products and services that uniquely meet their needs".
Coinbase is launching a new suite of tools tailored for high-end investment opportunities in cryptocurrency. Already, Coinbase stores over $20 billion worth of cryptocurrency for its customers - now, Coinbase Custody will be the specific product in charge of this, partnering with an SEC-regulated broker-dealer.
That's the reason why Coinbase chose to develop this service, Coinbase Custody. It will have its base in the NY office of Coinbase having a pool of expert employees with an huge experience in the leading stock exchanges.
Coinbase is optimistic about more institutional investors coming in as the market matures and they want to make sure they have all the right products. Among the custody partners are Autonomous Partners, boostVC, and WaldenBridge Capital.
Coinbase is not the only firm looking at targeting Wall Street with new product offerings. 'Over the course of the year, Coinbase Markets will introduce new features like low latency performance, on-premise datacenter colocation services, institutional connectivity and access, and settlement and clearing services. Note that individual investors should use Coinbase's trading platform GDAX; Prime is for institutions and professionals only.
Finally, Coinbase has created a new Institutional Coverage Group that focuses exclusively on supporting institutional clients (as opposed to retail clients).
The fourth product is an Institutional Coverage Group providing services such as sales, research, and market operations.
The second new product is the company's new electronic marketplace called Coinbase Markets that will offer a centralized pool of liquidity for all of Coinbase products. The group will be based out of Coinbase's New York office and touts an employee pool with impressive experience in the New York Stock Exchange, Morgan Stanley, plus regulatory bodies like the SEC and CFTC.