Capital markets News

Investment bank Cowen launches digital assets division

institutional cryptocurrency bitcoin

Today boutique investment bank Cowen unveiled its new digital asset division to target institutional investors with cryptocurrency trade and custody solutions.

“Cowen Digital has been trading crypto on behalf of our clients for several months. In conjunction with our integrated partners Standard Custody and prime brokerage solutions provider, Digital Prime Technologies, Cowen Digital provides our institutional client base with the same dedicated level of thought leadership, product capability, service and professionalism they have come to expect from Cowen,” said Dan Charney, Co-President of Cowen and Company.

Standard Custody & Trust is part of Polysign, where the technology was developed by two Ripple technologists, Arthur Britto and David Schwartz, who co-created Ripple’s XRP Ledger. Britto founded Standard, and its current Vice Chairman was the former Vice Chairman at BNY Mellon.

Apart from the trading and custody unveiled today, the roadmap includes derivatives and futures, financing solutions, institutional DeFi and access to NFTs.

A cryptocurrency demand has increased, so incumbent banks are extending their range of services. On Monday, it was announced that Goldman Sachs now offers custom OTC derivatives instead of only intermediating CME options.

Another trend is to expand into the metaverse. So far, at least three banks have done so, including JP MorganHSBC, and a subsidiary of Siam Commercial Bank.

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