In just a span of one year, the custodian section of the renowned U.S. crypto exchange giant has hit a landmark milestone. Coinbase It has successfully accumulated digital assets surpassing the $1 billion threshold.
During a lively discussion at the Consensus event part of the New York Blockchain Week, Coinbase's CEO shed light on this achievement. Brian Armstrong On May 15th, it was officially acknowledged that Coinbase Custody had reached an impressive AUM figure.
\"We’ve surpassed the billion-dollar mark in asset management, with 70 institutions backing us monthly, each adding approximately $150 million. This is a strong testament to our venture's success.\"
With promising initial growth, the custodial service is stepping into its second year as the broader crypto market continues its upward trend. next bull cycle In May, Bitcoin shot up by 62%, and Ethereum wasn't far behind with a 65% rise.
If the cryptocurrency market maintains this bullish momentum, it stands to reason that Coinbase Custody's managed assets could soar significantly in the coming year.
The company is ardently working to make this growth a reality.
A Strategic Shift Towards Crypto Staking and Voting
Back in March, Coinbase Custody launched a staking service Coinbase Custody introduced a feature allowing clients to stake Tezos (XTZ), with plans for more cryptocurrencies to be included. Tezos In addition to staking, the custody branch revealed plans to launch governance services, enabling users to participate in the Maker ecosystem's decision-making process. MKR This staking service introduction marks a pioneering move in the crypto custody sector, positioning Coinbase Custody favorably to increase its managed assets as more users embrace staking and governance features.
Recently, Coinbase collaborated with the Maker Foundation to audit the Maker Voting Contract, identifying a critical vulnerability that could have resulted in permanent token loss for voters. This partnership underscores Coinbase Custody's commitment to governance services.
It's important to acknowledge the growing competition. Fidelity Digital Assets is gearing up to shake up the custody landscape with its upcoming launch. Coinbase Custody aims to maintain its position by leveraging its staking and governance services as industry competition intensifies.
Looking at Coinbase as a whole, the exchange remains proactive in expanding its offerings to a wider range of traders.
Busy May for Coinbase So Far
Coinbase extended the availability of its USD Coin (USDC) stablecoin to an additional 85 countries. \"This initiative boosts global cryptocurrency trading adoption, enabling a stable value store with USDC,\" noted Coinbase.
On May 14th, the company declared it had expanded support Coinbase also announced the authorization of XRP trading for New Yorkers, aligning with recent surges in buyer interest for this cryptocurrency, which rose 57% in the past week to $0.445.
XRP is now accessible for trading to Coinbase users residing in New York, who can buy, sell, convert, send, receive, or store XRP on the platform.
Despite the growth in Canadian AUM, Coinbase is adjusting its strategies elsewhere. https://t.co/bCG11KMQ6s or using our iOS and Android apps. https://t.co/5VE1WklrWo pic.twitter.com/Zp5odgaoHs
— Coinbase ????️???? (@coinbase) May 13, 2019
It Hasn’t All Been Growth
This month's news included the departure of CTO Balaji Srinivasan, and reports surfaced last month of a 30-engineer layoff at Coinbase's Chicago office as it halted a new trading matching system project.
Around the same period, four executives left Coinbase's institutional division. Yet, the firm's mission to merge crypto with mainstream finance persists unwaveringly.
William M. Peaster is an expert writer and editor specializing in Ethereum, Dai, and Bitcoin sectors. His works are featured in Blockonomi, Binance Academy, Bitsonline, and more. He has a keen interest in smart contracts, DAOs, dApps, and the Lightning Network and is currently learning Solidity, too! Reach out to him on Telegram @wmpeaster.
