Approval Highlights
In a major development for cryptocurrency in New York, regulators have given the green light for Coinbase Custody Trust Company LLC to offer its custody services. Announced on October 23, this approval makes Coinbase a certified player in New York’s crypto landscape, aiming for a safe harbor where virtual currencies can flourish.
Range of Supported Assets
As part of its custodial offerings, Coinbase will be able to securely hold a variety of digital currencies for institutional clients. These include:
- Bitcoin (BTC)
- Bitcoin Cash (BCH)
- Ethereum (ETH)
- Ethereum Classic (ETC)
- Ripple (XRP)
- Litecoin (LTC)
This diverse lineup signifies Coinbase’s commitment to providing robust custody solutions that meet a range of institutional needs.
What’s In It for Coinbase?
Asiff Hirji, the President and COO of Coinbase, praised the New York Department of Financial Services (DFS) for its ongoing support of the cryptocurrency sector. “Since 2014, the New York DFS has proven itself to be a strong advocate in its support for the responsible growth of the cryptocurrency industry,” Hirji remarked. This new Chapter presents Coinbase with the opportunity to operate under rigorous fiduciary standards akin to traditional financial institutions.
Features of Coinbase Custody
Launched in July, Coinbase Custody isn’t just another crypto wallet; it’s tailored specifically for institutional customers needing to secure substantial amounts of digital assets. Key security features include:
- On-chain segregation of crypto assets
- Offline, multisig, and geographically distributed transaction protection
- Robust cold storage auditing and reporting
These measures indicate that Coinbase is serious about keeping assets safe, even more so than a cat guarding a laser pointer!
Future Developments
Looking forward, Coinbase has exciting plans. In August, they hinted at adding 40 new assets to their custody service. However, they clarified that while these additional assets could be held in custody, they aren’t set up for trading just yet. A smart move, really—no one wants to trade hot potatoes unless they’re absolutely sure they won’t burn their fingers!
