Coinbase Custody acquires Xapo
The company announced that Coinbase Custody completed the acquisition of Xapo's institutional business for $55 million
Coinbase bought Xapo’s institutional business for $55 million after beating another strong contender, Fidelity. Most Xapo clients have already decided to transfer their funds to Coinbase Custody.
The custodian will store 514.000 bitcoins corresponding to Xapo customers who accepted so far, but the number could reach 840.000 bitcoins if all clients are incorporated.
For its part, Coinbase notes: “From the beginning, our goal has been to build the reliable basis for institutional investment in bitcoin (BTC) and crypto assets in general. We are delighted to help enable part of the tremendous demand for this class of emerging assets.”
Coinbase Custody CEO Sam McIngvale said the exchange could study the crypto loan business in the future. “Fundamentally, we have to help our investors get a return on their assets. You can imagine lending bitcoin and gaining interest in that,” he exclaimed.
It is worth remembering that Xapo has long been a pioneer in the storage of crypto assets and, as Coinbase explains, has led the industry in the creation of security techniques that have kept its customers’ cryptocurrencies safe since 2014.
L. Sáenz
Source: Diario Bitcoin
