The rush of big money into the cryptocurrency market continues at full pace. Coinbase has announced new services aimed at institutional investors, while Japanese investment bank Nomura has teamed up with Ledger and Coinshares to launch Komainu, a venture focused on digital asset custody. Other notable stories include Ledgerx's savings account product, merchandise inspired by Warren Buffett's 'rat poison squared' comment, a trademark lawsuit by Telegram, and a Texas cease-and-desist order against a fraudulent scheme using celebrity images.
Coinbase Goes After Big Money
San Francisco-based exchange Coinbase, recently valued at $8 billion, unveiled a suite of services for institutional clients. It will launch a cryptocurrency custodian in partnership with an SEC-regulated broker-dealer, with initial clients including 1confirmation, Autonomous Partners, Boost VC, Meta Stable, Multicoin Capital, Polychain Capital, Scalar Capital, and Walden Bridge Capital. New offerings also include Coinbase Prime, a suite of tools for institutions, and an institutional coverage group based in New York City. The company will also open a new engineering office in Chicago to develop Coinbase Markets, with plans for low-latency performance, co-location services, and settlement and clearing features later this year. “There is clear demand from institutional clients,” said Adam White, Vice President and General Manager of Coinbase Institutional.
Komainu to Protect Institutional Assets
Komainu is a new venture founded by Nomura (NYSE: NMR), hardware wallet developer Ledger, and Coinshares' parent company Global Advisors. It aims to overcome barriers for institutional investment in crypto-assets with a custody solution, setting new standards and best practices. “Global investment managers have been held back by operational and regulatory risk,” said Jez Mohideen, Global Chief Digital Officer at Nomura. “Our partnership will bring peace of mind and enable better integration with traditional investment vehicles such as mutual funds.” Jean-Marie Mognetti of Global Advisors added that after six years of research, this partnership is a progressive step toward moving digital assets closer to mainstream offerings.
Ledgerx Launches Savings Accounts
CFTC-regulated platform Ledgerx introduced Ledger Savings, a product targeting 16% annual yield using a call overwrite strategy with a simple interface. Users can choose 3, 6, or 12-month maturities. The USD amount is available immediately for withdrawal, while the associated Bitcoin is locked for the savings period.
Rat Poison Squared Fashion
After Warren Buffett called Bitcoin “rat poison squared” less than two weeks ago, Ecoinmerce launched a clothing line under that name, including t-shirts, hats, mugs, and keyrings. “We don’t know exactly what it means, but we know Bitcoin created a productive ecosystem,” said COO Rex Chen, aiming to give crypto enthusiasts pride in defying the status quo.
Telegram Sues Over ‘Gram’ Trademark
With ICO tokens flooding the market, short names are becoming scarce. Telegram is reportedly suing a Florida-based venture for the rights to ‘gram,’ highlighting the ongoing battle over ticker symbols.
Jennifer Aniston Fake Endorsement Scheme Halted
The Texas Securities Commissioner issued an Emergency Cease and Desist Order on May 15 against Wind Wide Coin for fraudulently selling a crypto trading program using an “automatic trading bot.” The scheme promised “no risk” and extraordinary returns, such as 900% daily returns. The company also misled investors by claiming to be licensed and using images of celebrities like Jennifer Anniston (mislabeled as “Kate Jennifer”) and Prince Charles as fake investor endorsements. The same testimonial was used verbatim for two different supposed investors.