Nasdaq Executive Says, Entrance in Custody Services Will Boost Crypto Adoption
Nasdaq Executive Says, Entrance in Custody Services Will Boost Crypto Adoption.
According to Nasdaq Inc.’s top executive, their plans for custody and execution of cryptocurrencies will meet a large market demand.
Focusing on Custody Services
In an interview with Bloomberg, Tal Cohen, Nasdaq’s executive vice president and head of North American Markets, says the second biggest stock exchange is focusing on custody services as its first steps on digital asset business.
“Today, we’re focused on custody. That’s foundational. We think if you can safely keep people’s assets they’ll trust you to do everything else afterward,” Tal Cohen said.
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“So we’ll start with the foundational piece. We’ll build up from there. We’ll have execution capabilities because it’s not just the safekeeping, it’s the movement and transfer of those assets that we want to facilitate,” he added.
Crypto adoption will accelerate as Nasdaq enter the custody services, according to Cohen.
“The custody and the execution side are so attractive to us. That’s where our focus is. That’s where we think we can really add value and accelerate institutional adoption, which from our perspective, has still been strong even through this downturn,” he said.
Waiting for Regulatory Clarification
Before discussing possible crypto exchange launches, he says they will wait for regulatory clarification.
“And then over time, as we have more regulatory clarity, and we see greater institutional adoption, those are discussions that we’re happy to have,“ he said.
“But right now, on the retail side, the market is fairly saturated. There are a number of exchanges servicing the retail customer base. I think our focus is on where the demand is and where the opportunity is. And we think it’s just massive on the custody side and the execution side,” he explained.
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The blockchain data capabilities will also be explored, says Cohen.
“There’s a lot of content, a lot of data that the blockchain provides, so we’ll look at opportunities to create derived data products and other value that enhances the transparency and the liquidity and the interaction that customers have with that market.”
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