The large asset manager Apollo is now offering custody services and solutions to institutional investors thanks to a new partnership signed with Anchorage Digital. The information was released in a press release earlier today. Anchorage Digital will work as the qualified custodian to safely store crypto assets on behalf of Apollo’s clients.
Apollo Offers Crypto Custody Services to Institutions
With the goal of increasing the offering of assets to investors, Apollo has launched a new service that would allow institutions and companies to properly secure their crypto investments. Apollo has been working in the past years as a leader in the alternatives industry. Therefore, it could be a good opportunity for Anchorage Digital to set the bar for how institutions work with regulated digital asset banks.
Adam Eling, the COO of Digital Assets at Apollo, explained that they selected Anchorage due to its strict regulatory oversight and a strong emphasis on security. Security is among the most important things in the crypto market. Especially when we consider all the attacks that crypto exchanges experienced since Bitcoin was created over ten years ago.
On that matter, Mr. Eling mentioned:
“We were drawn to working with Anchorage given their commitment to operating under strict regulatory oversight, their strong emphasis on security and segregation of client assets, and their ease of use for asset managers to hold digital tokens. As we explore creative ways to apply blockchain technology across Apollo’s business, we look forward to collaborating with Anchorage for the safekeeping of client assets.”
Over the last few years, there has been a large interest from retail investors in digital assets. Thanks to this interest, Bitcoin and other cryptocurrencies experienced massive price increases. However, there has always been a gap between retail and institutional investors. Most applications and solutions built in the crypto market have focused on retail users.
With these solutions now offered by Apollo and Anchorage Digital, we are getting a step closer towards adding institutions to the crypto market and landscape. Anchorage Digital will be one of the key partners of Apollo that will make it easier and safer for users to know that their coins are secured and protected against possible attacks and hacks.
It is worth taking into consideration that attacks and hacks have been very common over the past few years in the crypto industry. Due to this reason, custody solutions and companies focused on security.
Anchorage Digital is a regulated crypto platform that offers institutions different financial solutions to handle and manage their crypto assets. The firm is also valued at over $3 billion and it received funding from a large number of leading institutions.
Moreover, most crypto custody services are being offered by cryptocurrency exchanges. Therefore, Apollo will have to deal with competitors that have already been in the industry for many years. Nevertheless, this new partnership between Apollo and Anchorage Digital will be key to making sure that clients have a secure option to invest and store virtual currencies.