Anchorage Adds To Crypto Product Suite; Analytics, Brokerage, Custody, and Staking
Anchorage, the cryptocurrency custody company is slated to start providing crypto brokerage services, thanks to its latest acquisition of Merkle Data. This deal is meant to help them enhance their services.
With the new acquisition, Anchorage now has a new service known as Anchorage Trading. The crypto trading service comes as a result of its acquisition of the analytics software and institutional-grade risk management firm popularly known as Merkle Data.
Introducing @Anchorage Trading, a new crypto brokerage service. Anchorage clients can now buy and sell crypto directly from custody. We're also excited to announce our first acquisition: Welcome to the team, @MerkleData!
— Anchorage (@Anchorage) January 15, 2020
Its takeover of this firm will help it enhance its new and existing services, according to a message released in the form of a blog post on 15th January 2020, by Anchorage CEO and co-founder Nathan McCauley.
Institutional-Based Cryptocurrency Trading
The new offering from Anchorage will enable the institutional traders to trade their digital holdings through the traders working for Anchorage.
According to the post, it’s an offering that is meant to take full advantage of the cryptocurrency custody services currently being offered by Anchorage. Clients can choose to hold some of their digital holdings with the crypto broker before proceeding to trade them using in-house brokers.
By doing this, it means that customers will not be forced to send their crypto assets to third party wallets and locations. Bart Stephens, the managing partner and Blockchain Capital was quoted in this Anchorage post stating that:
“Trading directly from custody has been a critical need for institutional crypto investors for years. Anchorage gives us a level of safety, trust, and ease of use that streamlines the current brokerage/custody workflow.”
Data Support from Merkle
By buying Merkle Data, the move is expected to make it possible for Anchorage to increase and improve numerous features of its brokerage services. Some of the areas to be affected will include quantitative analysis and risk modeling. Louis Baudoin, Merkle Data’s CEO was quoted in the same post commenting that:
“For the past 18 months, Merkle Data has been building the most advanced risk and data solution on the market, while Anchorage has built the most advanced and user-friendly custody solution.”
It’s worth noting that Anchorage had in mid-2019 introduced a new service that it referred to as Insurance Coverage.