Genesis, which launched the first US OTC bitcoin trading desk in 2013, today announced the launch of Genesis Custody, the culmination of integration work following the acquisition last May of digital custodian, Vo1t.
“When we began to think through our plans for custody, we went in with a deep understanding of the unique characteristics of digital currencies, a strong point of view on how to build best-in-class infrastructure for investors, and years of experience working with advanced cryptographic security practices,” said Genesis CEO Michael Moro in a post announcing the launch.
Genesis Custody services Bitcoin, Bitcoin Cash, Litecoin, Ethereum, Ethereum Classic, MANA, ZCash, Horizen, XRP and XLM. New assets will be added on a monthly basis, according to Moro.
Moro explains that Genesis Custody offers clients streamlined access to assets and a comprehensive transaction reporting suite with full portfolio auditability, amongst other features.
“Behind the scenes, our custody infrastructure incorporates layers of cryptographic security, following the same best practices utilised by government agencies to protect their most valuable assets. Additional protection is provided to clients through a suite of customised insurance solutions, tailored to meet the specific requirements of Genesis Custody by digital asset insurance specialists Paragon International Insurance Brokers and Woodruff Sawyer,” he says.
“We are very pleased to have arranged vault risk and additional digital asset crime insurance for Genesis Custody to further protect their clients and to complement their impressive custody offering,” says Jeff Hanson, senior vice president, Paragon International Insurance Brokers Limited.
“Genesis Custody is a unique custodial solution that demonstrates high levels of risk management and gives insurers the confidence to provide insurance coverage, offering further peace of mind to their customers. We are excited by the company’s future plans and are delighted to partner with Genesis,” adds Nicholas Edwards, head of Specie, Canopius at Lloyd’s of London, and lead insurer of the vault risk policy.
Looking ahead, Moro says Genesis is seeking regulatory approval to become a qualified custodian. “As part of this process, we’re also looking to become an agency trading venue,” he adds. “Upon approval, we’re planning on launching an agency trading desk providing robust exchange connectivity and aggregated liquidity for more capital-efficient trades.”
He adds that Genesis is on the path to launching an institutional lending API, which will enable larger institutions to streamline lending with the firm.
He further notes that Genesis is working with regulators on licensing efforts in Singapore as it builds out its presence there.
Genesis will also be launching a capital introduction business to introduce capital to hedge funds and asset managers utilising its platform, and plans to integrate more robust capital market and fund administration tools.
“Better global infrastructure will provide game-changing benefits in the maturation of digital currencies as an asset class – lowering barriers to entry, bringing in more liquidity and increasing the size of the overall market,” Moro says. “Genesis is proud to play a part in creating new architecture, and to bringing our services on par with the world’s top financial institutions. We are building a foundation to create value for our clients and the digital asset industry for many years to come.”
Genesis facilitates billions in digital asset trades, loans and transactions on a monthly basis – including surpassing $10 billion across product sets over the first half of 2020, according to Moro.