Nomura announces a new venture to establish custody offering for digital assets
Japanese investment bank Nomura has announced a new venture Komainu in collaboration with Ledger and Global Advisors Partner to break barriers "to institutional investment in digital assets with new services, standards, and best practice." Komainu will usher in security and compliance in institutional investments of digital assets.
BREAKING 1/2: Excited to announce the launch of a partnership between @LedgerHQ, @Nomura and @GABIjersey to enable institutional investment in digital assets including cryptocurrencies. Together we’ll address security and other challenges facing investors https://t.co/I1bcsOX3Qg
— Ledger (@LedgerHQ) May 15, 2018
The press release issued by Nomura states, "The custody offering will address challenges faced by investors entering the sector. With the ten largest digital assets alone reaching a total combined market capitalization of $300bn+, institutional investors are actively exploring ways to gain exposure to a rapidly emerging asset class. One in five finance firms are considering launching digital asset trading and investment businesses in the coming year. "
Jez Mohideen, Global Chief Digital Officer, Wholesale at Nomura, said: “Global investment managers have long been held back from full participation in digital asset markets, limited by operational and regulatory risk. Our new partnership will set the required standards that will bring peace of mind to digital asset investors, and provide tools and products to enable better integration with more traditional investment vehicles such as mutual funds.”
Pascal Gauthier, President of Ledger, said: “Ledger is a well-established security solution provider with over 1 million Nano S hardware wallets sold. The Vault (a secure hardware-based key management solution for digital assets) is a natural expansion of our offering, tailored to address the challenges faced by the financial industry. By bringing together financial industry experts and digital asset security leaders, our new venture will provide, for the first time, services and solutions built for business.”
The collaboration would pool expertise from banking, fund management, institutional trade settlement and digital asset security. A safe and strong custodial solution aimed especially for institutional investors will have no dearth of takers. Investors and traders have always welcomed solutions which score on regulatory and compliance standards.
Image via Wall Street Journal