Influx of Positive Developments for Coinbase is Bullish for Crypto | NewsBTC

One of the world’s largest cryptocurrency platform has had a stellar week, as positive news floods in regarding the platform’s expansive development plans.Coinbase’s Custody Service Secures The Business Of A $20 Billion Hedge FundInstitutional investment seems to be all the rage in cryptocurrency circles, with many citing this form of interest and investment as the next step for the cryptocurrency market. Some have even gone on to say that an influx of institutional investors will welcome in new all-time highs, with Bitcoin easily surpassing $20,000 as the industry sees rapid growth and development.However, in the industry’s current state, there isn’t enough infrastructure to support many institutional firms, with these investors citing security and regulatory risks as the foremost reasons why they have been slow to enter the market. But this is quickly changing, with firms like Coinbase, Blockchain, and Circle all opening cutting-edge services aimed at institutional clients.According to a recent report from Business Insider, institutional investors have begun to flock to Coinbase’s institutional-focused service. Individuals who are familiar with the matter stated that the firm had already taken on an unnamed $20 billion hedge fund through its Prime service, which intends to provide custodial, trading and management support for clients from legacy markets.Colleen Sullivan, who heads a crypto-centric venture capitalist firm CMT Digital, commented on the need for prime brokers in this industry, stating:“Without a prime broker, trading firms are directly subject to events that an exchange may suffer like hacks, regulatory issues, operational issues, technology issues (and many more) — all of which may lead to loss of the trading firm’s cash and coin.”

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