The San Francisco-based crypto exchange Coinbase enjoyed users on 15th May, announcing the release of Coinbase Custody. The plan for this project has been unveiled since last year, but materialization took place only yesterday.
Coinbase Custody is a “crypto storage service directed specifically at large financial institutions“. Last year, the company said that stakeholder investors would have to invest at least $ 100,000 million and hold a $ 10 million deposit in their bank account in order to benefit from platform’s services.
“We have leveraged our experience safely storing more than $20 billion of cryptocurrency to create Coinbase Custody, the most secure crypto storage solution available,” Coinbase claimed.
The company’s explanation relating why choosing to launch Coinbase Custody in today’ s conditions is that:
“The cryptocurrency market is maturing rapidly as more sophisticated institutional participants enter the space. In fact, in the past few months over 100 hedge funds were created that exclusively invest in and trade cryptocurrency. Some of the world’s largest financial institutions have also recently announced their plans to begin trading cryptocurrency.”
According to Coinbase, the financial institution will bring “new capital, greater awareness and additional infrastructure to the space… This movement requires institutional grade products and services, something Coinbase has been developing with leading institutions and which we are proud to formally launch today.”
In addition to launching its Coinbase Custody, the company will collaborate with a U.S. Securities and Exchange Commission broker to ensure consistent information validation and compliance with regulatory requirements.
Among the partners who participated in the launch of Coinbase Custody, we find “1confirmation, Autonomous Partners, Boost VC, MetaStable, Multicoin Capital, Polychain Capital, Scalar Capital and Walden Bridge Capital.“