Investment bank Cowen set to offer institutional-grade crypto custody
May 13, 2021. Summarized by summa-bot.
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103-year-old investment bank Cowen Inc. has partnered with Standard Custody and Trust to offer institutional-grade crypto custody services amid growing appetite for cryptocurrencies among big-money players.
Cowen Inc. , an independent American investment bank established over a century ago is set to become the latest mainstream financial services company to enter the crypto custody business.
According to Bloomberg, Cowen has inked a partnership with Standard Custody and Trust Co. The collaboration will also includes a $25 million investment in the Standard’s parent company PolySign Inc. , which has Ripple’s chief technology officer David Schwartz on its board of directors.
According to Cowen, there is a growing demand for crypto exposure among institutional investors, with CEO Jeffrey Solomon stating: “We’re going to be able to help a lot of our institutional clients get over the hump and start trading digital assets in the not-too-distant future. ”
Custody remains a major roadblock for institutional entry into the crypto scene as hedge funds and asset managers are required by law to have client’s assets held by recognized custodial services.