The second-largest U.S. stock market operator, Nasdaq, is launching a cryptocurrency custody service as it aims to cash in on demand from institutional clients looking to invest in the cryptocurrency space.
The company has hired Ira Auerbach, who previously ran prime brokerage services at cryptocurrency exchange Gemini, as the head of its digital assets unit.
Nasdaq’s move follows BlackRock, the world’s largest asset manager, saying it will offer cryptocurrencies to its institutional clients, and Depository Trust & Clearing Corp., the organization that processes almost all U.S. stock market trades, releasing its own blockchain in a bid to speed up trade settlement.
Auerbach said that Nasdaq is open to working with crypto-native firms, although there are no acquisition plans in the short term.