Nasdaq, the multinational financial services firm, has started preparations to offer digital asset custody services to institutional clients, as more institutions become interested in dabbling in cryptocurrencies.
It has been reported that the company has created a new group focusing on digital assets and will start by offering Bitcoin (BTC) and Ether (ETH) custody services for institutions. The firm also onboarded Ira Auerbach, who previously led prime broker services at crypto exchange Gemini, as the head of its new digital assets division.
However, Auerbach expresses his belief that the next wave of the financial revolution will be driven by institutional adoption. According to the executive, there’s no better place than Nasdaq to bring trust to the market.
The report said that in May, Nasdaq partnered with Brazilian firm XP to create a digital asset exchange called XTAGE. Roland Chai, an executive at Nasdaq, said that the partnership with XP would bring new opportunities to investors and other companies. According to XP, the exchange is scheduled to launch in 2022.
Alexander Höptner, the CEO of BitMEX, predicted that following the Ethereum Merge, when the network shifted to a proof-of-stake consensus, institutions would be more open to investing in crypto, as companies are concerned with efficiency and environmental development.
He said:
“I’m absolutely sure that this will further push for institutional adoption and also mass market adoption.”
Thus, Henrik Andersson, an executive at the fund manager Apollo Capital, also said that institutions would soon make a U-turn regarding their hands-off stance on crypto. The executive highlighted that there will be a time when people won’t want to miss out and that it will become a “career risk not to be invested.”
Source: Cointelegraph