Connect with us

Hi, what are you looking for?

Economy

Kraken Unveils Crypto Custody Service for US Institutional Clients

Crypto exchange Kraken launched a crypto custody service in the US targeted at institutional clients on Wednesday.

Kraken Financial, a state-chartered bank based in Wyoming, will provide the service. The service includes digital asset custody and institutional deposit accounts.

The announcement comes amid renewed excitement in the crypto market, spurred by the approval of Spot Bitcoin ETFs. This change is marked by growing interest from institutional investors, renewed optimism, and wider adoption of cryptocurrencies.

“Custody has always been integral to the institutional crypto space and the recent success of the bitcoin ETFs has only underscored the need for a broader range of qualified custodians,” said Tim Ogilvie, Head of Kraken Institutional. 

He pointed out that Kraken Custody’s launch is “well-timed,” offering another option for custody.

Kraken Custody is the first product under our new institutional brand. Offered via Kraken Financial, our state-chartered bank that holds fiat deposits in full reserve, it is ideally suited to offer qualified custody solutions for US institutional clients.https://t.co/1TzDm00CBZ

— Kraken Exchange (@krakenfx) March 20, 2024

Kraken Crypto Custody Independent From Main Exchange


Kraken Financial operates independently, keeping its funds and assets separate from the main Kraken exchange. 

This setup is in Wyoming, known for being forward-thinking in the crypto space. The state took early steps to regulate the crypto industry, notably by launching a fintech sandbox in 2020 to experiment with new financial products and services. 

“The state of Wyoming’s clear regulatory structure means Kraken Financial can offer qualified custody that fully meets institutions’ requirements,” said Kraken Financial CEO Trevor Rutar.

Major Banks Move Into Crypto Custody


The worldwide market for crypto custody services is becoming increasingly competitive with the entry of significant financial institutions. 

For instance, HSBC stepped into this space last year, offering a custody service for digital assets, targeting institutional clients interested in tokenized securities.

In the US, Custodia Bank also made a move by introducing its Bitcoin custody platform in certain states. Meanwhile in Europe, Swiss crypto firm Taurus teamed up with Deutsche Bank to combine crypto custody with tokenized services.

Furthermore, Standard Chartered-backed Zodia Custody began offering its digital asset custody services in Singapore, focusing on financial institutions.

The post Kraken Unveils Crypto Custody Service for US Institutional Clients appeared first on Cryptonews.

Your information is secure and your privacy is protected. By opting in you agree to receive emails from us. Remember that you can opt-out any time, we hate spam too!

Latest

Economy

In a note to clients, Goldman Sachs, one the world’s largest investment bank, advised against extrapolating data from previous Bitcoin halving cycles due to...

Economy

Centralized cryptocurrency exchanges (CEXs) like Binance experienced a large surge in trading volumes between October 2023 and March 2024, according to Bybit’s 2024 Institutional...

Economy

Binance, the world’s largest cryptocurrency exchange, secured a highly anticipated crypto license in Dubai following the resignation of Changpeng Zhao “CZ” as CEO. Binance...

Economy

Iconic Paris fashion house Maison Margiela announced an expansion of its Web3 fashion offerings on Wednesday with the launch of its new NFT MetaTABI....

Economy

Venture capital funding for cryptocurrency and blockchain projects has experienced its first quarterly rise since 2021.  Crunchbase data published today reveals that Web3 startups managed to...

Economy

Despite Web3’s challenging journey in recent years, funding for the sector bounced back in the first quarter this year. It marks the first increase...

You May Also Like

Financial Advisors

[#item_full_content]

Financial Advisors

[#item_full_content]

Financial Advisors

The humongous outbreak of the dreaded coronavirus has brought about a groundbreaking change in what the world perceived as ‘normal’. With an estimated 280,391,189...

Disclaimer: Respect Investment.com, its managers, its employees, and assigns (collectively "The Company") do not make any guarantee or warranty about what is advertised above. Information provided by this website is for research purposes only and should not be considered as personalized financial advice. The Company is not affiliated with, nor does it receive compensation from, any specific security. The Company is not registered or licensed by any governing body in any jurisdiction to give investing advice or provide investment recommendation. Any investments recommended here should be taken into consideration only after consulting with your investment advisor and after reviewing the prospectus or financial statements of the company.

Copyright © 2024 Respect Investment. All Rights Reserved.