Grayscale Will Soon Transfer Almost $3 Bln Worth of Crypto to Coinbase Custody     

Libra Coin News
Fri, 08/02/2019 - 16:52
Alex Dovbnya
After Polychain Capital and a16z crypto, Coinbase Custody adds Grayscale to the list of its bigwig clients 
Cover image via 123rf.com
Contents

Digital asset management fund Grayscale Investments has chosen Coinbase Custody to safeguard $2.7 bln worth of different cryptocurrencies, which include Bitcoin and a slew of major altcoins, such Ethereum, Ripple’s XRP and Litecoin.

This is the biggest development for the rapidly growing Coinbase subsidiary that was launched in July 2018.

A $2.7 bln transfer  

Coinbase has already inked deals with many high-profile institutional players. Brian Amstrong, the CEO of Coinbase, earlier revealed that the custodian held more than $1 bln worth of digital assets. Grayscale is about to nearly quadruple this amount.

Grayscale plans to move its funds on Aug. 2, which could be the biggest amount of transferred crypto in one day. Coinbase will hold the company’s crypto riches for at least three years, according to the press release.  

High standards

According to Coinbase Custody CEO Sam McIngvale, the subsidiary boasts the same rigorous standards as some of the largest financial institutions. 

We also offer some of the broadest and deepest insurance coverage in the crypto industry,” McIngvale told Forbes.

Prior to Coinbase, Grayscale appointed Hong Kong-based Xapo to serve as its custodian back in 2015. Xapo holds more than $10 bln worth of Bitcoin with the help of an international network of its underground vaults.

About the author

Alex Dovbnya (aka AlexMorris) is a cryptocurrency expert, trader and journalist with an extensive experience of covering everything related to the burgeoning industry — from price analysis to Blockchain disruption. Alex authored more than 1,000 stories for U.Today, CryptoComes and other fintech media outlets. He’s particularly interested in regulatory trends around the globe that are shaping the future of digital assets.


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