EMERGING TECH
EMERGING TECH
EMERGING TECH
Coinbase Inc., the largest U.S. cryptocurrency exchange, has acquired three different companies in a push to offer customers additional financial services.
Leading the acquisition list was Keystone Capital Inc., a California-based Financial Industry Regulatory Authority Inc. registered broker. According to The Wall Street Journal, it can also operate as a registered investment adviser as well as run an alternative trading system.
Coinbase said the acquisition will allow it to “offer future services that include crypto securities trading, margin and over-the-counter trading,” although the transfer of the licenses is still subject to regulatory approval.
Second on Coinbase’s acquisition spree is Venovate Marketplace Inc., another California-based company that “matches sophisticated investors and their advisers with issuers raising capital for a broad range of alternative assets.” Like the Keystone Capital acquisition, the deal provides Coinbase with a range of licenses that allow it to expand the services it offers its customers.
For the hat trick, the last company Coinbase picked up was Digital Wealth LLC, a “fee-only financial planning and investment management firm dedicated to assisting technology professionals and their families with their personal finance.” Of the three, Digital Wealth makes the least sense in terms of being a fit for what Coinbase may wish to offer, but likely comes with licenses Coinbase can use for related offerings.
“There are now many types of blockchain-based digital assets, from cryptocurrencies to security tokens to collectibles,” Asiff Hirji, Coinbase’s chief operating officer and president, said on Medium. “In the United States, some of these assets will be subject to SEC oversight. With this in mind, securing these licenses will bring us a step closer to our goal, which is to be the most trusted way for our customers to buy, sell and use many different types of crypto assets.”
“If approved, Coinbase will soon be capable of offering blockchain-based securities, under the oversight of the U.S. Securities and Exchange Commission (SEC) and the Financial Industry Regulatory Authority (FINRA),” Hirji added.
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