Nasdaq launches institutional investor-focused crypto service

Financial services juggernaut Nasdaq recently revealed the creation of a brand-new division devoted to the expanding cryptocurrency market.

Financial services juggernaut Nasdaq recently revealed the creation of a brand-new division devoted to the expanding cryptocurrency market. The new division, named Nasdaq Digital Assets aims to provide a new opportunity for institutional participants to explore the asset class.

According to a recent report by Bloomberg, Nasdaq has also appointed exchange giant Gemini’s former broker services head Ira Auerbach to lead the new department. Moreover, the story cited Tal Cohen as its executive vice president.

In the subsequent press release issued by the company, it is stated that the new product “underpins” the company’s ambition to “advance and help facilitate broader institutional participation in digital assets by providing trusted and institutional-grade solutions focused on enhanced custody, liquidity, and integrity.”

According to the PR statement, the aforementioned characteristics intend to address some of the industry’s challenges around availability, efficiency, and connectivity.

Nasdaq to bring innovative tech products

In addition to this, Nasdaq has pledged to deliver a cutting-edge technological product that would provide a high degree of accessibility and scalability without compromising security” and “bring together the best attributes of hot and cold crypto wallets.”

Despite this, the company has stated that its most recent product would still require regulatory approval before it can be offered in the relevant jurisdictions.

Cohen described the increasing demand for cryptocurrency services among large institutions and investors, and he mentioned that his company is “well-positioned to accelerate broader adoption” and achieve sustainable growth. On the other hand, Adena Friedman, the president and CEO of Nasdaq also commented on the new division’s launch by stating:

“The technology that underpins the digital asset ecosystem has the potential to transform markets over the long-term. To deliver on that opportunity, our focus will be to provide institutional-grade solutions that bring greater liquidity, integrity, and transparency to support the evolution.”

Recently, the U.S.-based multinational investment management company BlackRock launched private spot Bitcoin trust for institutional investors.