Nadeem Anjarwalla, the executive from Binance who escaped custody in Nigeria, has reportedly been found in Kenya. Law enforcement agencies in Nigeria, spearheaded by the Economic and Financial Crimes Commission (EFCC), are in talks with their Kenyan counterparts about Anjarwalla’s extradition. Nigerian Authorities Want Nadeem Anjarwalla Extradited According to a report, Nadeem Anjarwalla, a Binance […]
Bitcoin News
Germany’s Largest Federal Lender LBBW Ventures Into Crypto Custody, Targets Mid-2024 Launch
Landesbank Baden-Württemberg (LBBW), Germany’s largest federal bank, has announced plans to offer crypto custody services later in the year. LBBW revealed its collaboration with Bitpanda, based in Austria, and stated that it will begin these services focusing on bitcoin and ethereum, the top two cryptocurrencies by market capitalization. LBBW and Bitpanda Collaborate to Offer Bitcoin […]
Bitcoin News
Hong Kong’s ZA Bank to Offer Custody Accounts for Stablecoin Issuers
ZA Bank, a virtual bank in Hong Kong, will offer cash custody accounts for institutions that want to issue stablecoins. The organization is in talks with several parties seeking to issue their stablecoins, and this service would be available for them after receiving a license from the Hong Kong Monetary Authority (HKMA). ZA Bank to […]
Bitcoin News
Detained Binance Executive Escapes Custody in Nigeria, Government to Request Interpol Assistance
A senior executive at Binance, who was detained by Nigerian authorities in late February, has since escaped from custody. The executive Nadeem Anjarwalla is believed to have left the country using a Kenyan passport. The Nigerian government confirmed Anjarwalla’s escape and said it would ask Interpol to issue an international arrest warrant. Binance Executive Departs […]
Bitcoin News
LAPD Recovers $6.9 Million Worth of Stolen Bitcoin Mining Rigs, Suspects in Custody
The Los Angeles Police Department (LAPD) has apprehended three individuals following the theft of bitcoin mining equipment valued at .9 million. The Commercial Crimes Division’s Cargo Theft Unit announced the retrieval of all stolen items. California Authorities Arrest Trio for Stealing Bitcoin Mining Hardware On March 19, 2024, the LAPD, along with detectives from the […]
Bitcoin News
House Financial Services Committee Advances Bill to Repeal SEC Bulletin Preventing Banks From Offering Crypto Custody Services
The House Financial Services Committee of the U.S. Congress has advanced a resolution that seeks to disavow SEC SAB 121, a bulletin that leaves banks and financial institutions out of the cryptocurrency custody provider market. However, the resolution, advanced with bipartisan support, is unlikely to be passed at a vote on the House floor, according […]
Bitcoin News
Switzerland’s Postfinance Launches Crypto Trading and Custody Service
Swiss Post’s financial subsidiary, Postfinance, has launched a new cryptocurrency trading and custody service. Customers can use the service to “purchase or securely store an initial range of 11 cryptocurrencies at the click of a mouse or even set up a crypto saving plan,” the company explained. Postfinance’s New Crypto Service Swiss Post’s fully-owned financial […]
Bitcoin News
Coinbase Custody Accounts For 90% Of All Bitcoin ETFs – Details
Coinbase Custody reportedly now holds over 90% of all Bitcoin ETFs in the United States. This development was revealed by the crypto exchange’s CEO, Brian Armstrong, while appraising the company’s performance in the fourth quarter (Q4) of 2023.
Coinbase Emerges As Major Player In Bitcoin ETF Market
In an X post on February 16, Brian Armstrong shared specific highlights of Coinbase’s achievement in Q4 2023. In particular, He noted that the American crypto exchange has played a crucial part in facilitating the adoption of cryptocurrencies by traditional financial firms (TradFi).
A major part of this adoption is the Bitcoin ETF market which is worth billion, ranking as the second largest commodity ETF market after Gold. Armstrong noted that Coinbase has played a significant role in this development, serving as custodian for 90% of the investment funds in the Bitcoin ETF market.
A few thoughts on our Q4 Earnings yesterday:
2023 was a great year for Coinbase and we’re in a strong financial position. We cut costs by 45% y/y and shipped products faster with a leaner team driving million of positive net income for 2023, 4 million in positive Adj.… pic.twitter.com/XK8f0EQBdP
— Brian Armstrong (@brian_armstrong) February 16, 2024
For context, a custodian is a regulated financial institution that holds customers’ securities and assets, providing protection against any form of loss or theft. Notably, Coinbase is listed as the custodian for eight of the 11 recently launched Bitcoin spot ETFs. These include BlackRock’s IBIT, Ark Invest’s ARKB, Bitwise’s BITB, and Grayscale’s GBTC, among others.
These statistics indicate that Coinbase is well placed to record larger milestones as the top traditional financial institutions are tipped to finally invest in Bitcoin ETFs, especially upon the proven success and stability of the Bitcoin spot ETFs.
According to Armstrong, other notable Coinbase achievements in Q4 2024 include the launch of the exchange’s international wing, and the layer-2 blockchain solution Base. The crypto exchange also claimed to slash its annual costs by 45% while generating a total income of .1 billion.
Looking Forward To 2024
In retrospect to 2024, Armstrong stated that Coinbase will maintain focus on its international expansion and new derivatives products. In addition, they will aim to promote the adoption of crypto payments by transforming the Coinbase wallet into a super app.
Finally, the exchange CEO states that Coinbase will continue to advocate for a clear regulatory framework applicable to the crypto space. Armstrong says that Coinbase is committed to this course and is willing to explore all means, including legal processes as well as engaging the federal legislators.
COIN trading at 0.28 on the trading chart | Source: COIN chart on Tradingview.com
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Ripple Aims to Expand Regulatory Reach With Standard Custody Acquisition
In a strategic move to bolster its regulatory credentials, Ripple has announced its plan to acquire Standard Custody & Trust Company. This acquisition, pending regulatory approval, is set to enhance Ripple’s portfolio of digital asset solutions and regulatory licenses, marking a significant step in the company’s expansion. Ripple Plans to Acquire Standard Custody & Trust […]
Bitcoin News
FINRA-Registered Digital Asset Platform Prometheum to Launch Ether Custody Services
Prometheum, the first U.S. special purpose broker-dealer authorized to custody, clear, and settle digital asset securities, disclosed that it is now providing custodial services for the cryptocurrency ethereum. This announcement arrives amidst a period where the prominent crypto asset, ethereum, remains without a definitive classification as a security by the U.S. Securities and Exchange Commission (SEC).
Prometheum Reveals Ethereum Custody Plans
On Wednesday, Prometheum revealed its plans to start custodial services for ethereum (ETH) and has initiated the signup procedure for asset management firms, hedge funds, registered investment advisors (RIAs), banks, and various financial entities in preparation for the forthcoming launch of custodial services.
Last year, Prometheum captured widespread attention when its co-CEO, Aaron Kaplan, delivered testimony to the U.S. House of Representatives Committee on Financial Services (FSC) on June 13, 2023. Following the testimony, U.S. Senator Thomas Tuberville (R-AL) issued an open letter to U.S. Attorney General Merrick Garland and SEC Chairman Gary Gensler, raising alarms over the potential of “false testimony.”
In addition, Democratic Representative Ritchie Torres from New York dispatched letters to U.S. Comptroller General Gene Dodaro and SEC Inspector General Deborah Jeffries concerning Prometheum’s licensing. This series of events prompted the FSC, under the leadership of Chairman Patrick McHenry (R-NC), to initiate a probe into Prometheum.
In January, the Financial Industry Regulatory Authority (FINRA) authorized Prometheum to clear digital assets. With this approval in place for launching ether custodial services, Prometheum further announced its intention to provide trading, clearing, and settlement services to both retail investors and institutional clients this year.
“Prometheum Capital’s custodial services, starting with ETH, are tailored to meet the stringent regulatory and compliance standards promulgated by the federal security laws,” Kaplan said in a statement on Wednesday.
Prometheum’s decision to custody ether is noteworthy, given that ethereum (ETH) has yet to be explicitly classified as a security by the SEC, whereas bitcoin (BTC) is broadly acknowledged as a commodity.
While the SEC and Chairman Gensler have remained silent on the matter, Chairman Rostin Behnam of the U.S. Commodity Futures Trading Commission (CFTC) has informed Congress of his view that ether qualifies as a commodity. Furthermore, Prometheum’s announcement arrives amid the SEC’s ongoing deliberations on whether to sanction a spot ETH exchange-traded fund (ETF).
What do you think about Prometheum offering ethereum custody services in 2024? Share your thoughts and opinions about this subject in the comments section below.