Kevin Helms
A student of Austrian economics, Kevin found Bitcoin in 2011 and has been an evangelist ever since. His interests lie in Bitcoin security, open source systems, network effects and the intersection of finance and cryptography.
Coinbase Acquires One River Digital to Expand Institutional Access to Crypto Assets – Exchange Bitcoin News
Cryptocurrency exchange Coinbase has acquired One River Digital Asset Management, an institutional digital asset manager and registered investment adviser with the Securities and Exchange Commission (SEC). This acquisition allows Coinbase to “expand institutional access to digital assets,” the crypto exchange said.
Coinbase expands institutional access to crypto
Coinbase (Nasdaq: COIN) announced on Friday that it has acquired One River Digital Asset Management (ORDAM), a subsidiary of One River Asset Management. ORDAM is an institutional digital asset manager and registered investment adviser with the Securities and Exchange Commission (SEC).
One River Digital Asset Management “will transition to become Coinbase Asset Management (CBAM), and will operate as an independent business and wholly owned subsidiary of Coinbase,” the crypto exchange explained, elaborating:
The acquisition is in line with our long-term strategy to unlock further opportunities for institutions to participate in the crypto-economy.
CBAM will be separated from Coinbase’s trading and exchange operations, the exchange noted, adding that Eric Peters will continue to serve as CEO and Chief Investment Officer of ORDAM (now CBAM). He is also CEO and CIO of One River Asset Management.
Coinbase detailed that it already serves many institutional investors. “As of Q4 2022, approximately 25% of the top 100 hedge funds in the world by reported assets under management have chosen to onboard with Coinbase,” the crypto exchange said, adding:
With over $130 billion in quarterly institutional trading volume and over $50 billion of institutional assets on the platform, Coinbase operates at the center of the institutional digital asset market.
Despite the crypto winter, institutional investors continue to show interest in crypto assets. A recent survey by Coinbase found that institutional investors increased their crypto allocations during the crypto winter. In January, another survey showed that institutional investors see “a strong year ahead for bitcoin”, with 65% of survey participants expecting BTC to reach $100K in the long term.
Coinbase’s Friday announcement adds:
With this acquisition, we are excited to welcome ORDAM’s best team to Coinbase and to collaborate more deeply to expand institutional access to digital assets.
What do you think about Coinbase acquiring One River Digital Asset Management to expand its crypto products and services to institutional investors? Let us know in the comments section below.
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