Nasdaq enters the digital asset world by offering crypto custodial service.
Nasdaq, the second largest stock exchange in the world, has announced the launch of its new business called “Nasdaq Digital Assets.”
According to the news report shared by Bloomberg, the new business will initially offer custody services in Bitcoin (BTC) and Ethereum (ETH) to institutional investors, such as hedge funds.
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The company has also shared a press release highlighting that Nasdaq aims to provide institutional-grade solutions to enhance integrity, custody, and liquidity to attract institutional partners.
Nasdaq President and Chief Executive Officer Adena Friedman, when talking about the newest Nasdaq business, noted:
Nasdaq Digital Assets builds upon the successful solutions we have introduced in recent years to serve the digital assets ecosystem, including marketplace technology for digital asset exchanges, crypto-native anti-financial crime offerings, and crypto-related index solutions for tradable products.
The company claims that Nasdaq Digital Assets will provide liquidity and execution services that will combine the best features of hot and cold wallets. Nasdaq Executive Vice President and Head of North American Markets, Tal Cohen said:
With our trusted brand and strong track record as a technology provider for the global capital markets, Nasdaq is uniquely placed to address industry pain points by improving liquidity, scalability, and resiliency, with the goal to engender greater trust and confidence in the digital assets ecosystem.
In its press release, Nasdaq highlighted that the new business is led by Ira Auerbach, who has previously worked as the Global Head of Gemini Prime.
It is worth noting that, on September 13th, leading Wall Street firms launched a cryptocurrency exchange called EDX Markets (EDXM). The company was established by Paradigm, Charles Schwab, Sequoia Capital, Citadel Securities, Virtu Financial, and Fidelity Digital Assets℠. EDX Markets offers its services to institutional and retail investors.