Digital currency exchange Coinbase, through Coinbase Custody, has taken over the institutional business of crypto wallet provider Xapo.
With the deal, Coinbase Custody’s assets under custody increase to more than $7bn. The business manages the assets for over 120 clients across 14 countries.
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Coinbase vowed to further Xapo’s mission of making Bitcoin more secure and accessible.
The crypto exchange said that it will tend to a range of institutional clients such as hedge funds, family offices, and endowments.
In a blog post, Coinbase noted: “Through our consumer products, Coinbase has helped more people experience their first crypto transactions than any other company.
“Like Xapo, we share the goal of making Bitcoin and other cryptocurrencies accessible in a way that’s secure, safe and compliant with local laws.
“Through the acquisition of Xapo’s institutional businesses, we’re now proud to act not only as the gateway for millions of people to cryptocurrency, but also as the world’s largest and most trusted steward of digital assets.”
Coinbase also unveiled plans to “explore new ways to monetise and leverage crypto assets such as staking, borrowing against crypto portfolios and lending crypto to trusted counterparties”.
Earlier this year, Coinbase acquired blockchain analytics firm Neutrino. In 2018, Coinbase purchased crypto trading platform Paradex.
Notably, Coinbase recently expanded into 11 new countries in Latin America and South East Asia.
