NASDAQ said custody is the first step in its digital asset push.
The stock exchange operator plans to launch its crypto custody service before the end of next quarter.
More traditional financial institutions are making a push into the cryptocurrency space.
NASDAQ’s crypto custody service will launch next quarter
Nasdaq Inc. is planning to launch its custody services for digital assets by the end of the second quarter of 2022. This latest development is according to a report by Bloomberg on Friday.
The stock exchange market operator joins a host of other traditional financial firms that are making their way into the cryptocurrency space. According to the report, NASDAQ is pushing ahead to get the necessary technical infrastructure and regulatory approvals in place.
Ira Auerbach, senior vice president and head of Nasdaq Digital Assets, revealed this during an interview in Paris. The NASDAQ exec added that the firm has applied to the New York Department of Financial Services for a limited-purpose trust company charter, a licence that would allow it to oversee the business.
This latest cryptocurrency news comes after the firm revealed its intention to enter the crypto space. In September 2022, NASDAQ announced that it would offer custody services for Bitcoin (BTC) and Ether (ETH) to institutional investors.
The firm went ahead to hire Ira Auerbach, a former Gemini employee, to head the new Nasdaq Digital Assets unit
More financial institutions could enter the crypto market soon
The recent collapse of Silvergate and Signature banks has left a space in the cryptocurrency space, and experts believe more traditional financial companies, such as NASDAQ, could enter to fill the gap.
NASDAQ’s entry into the cryptocurrency space could prove a positive signal for mainstream cryptocurrency adoption, a situation that could help attract more companies to the market.