BlockFi, a financial services firm focusing on crypto products, has partnered with CF Benchmarks, which will now provide them with ‘independent pricing and valuation’ of their clients’ underlying digital assets. available comes barely a week since BlockFi raised $50 million in a Series C funding, increasing the company’s prospects of scaling crypto adoption in both retail and institutional markets.
According to the press release shared with BEG, the partnership will enable BlockFi’s clientele to integrate better asset allocation and risk management strategies towards their crypto lending deposits and collateral. Consequently, BlockFi is optimistic that its partnership with CF Benchmarks will enable investors to realize the full value of their investments given embedded performance measures.
Notably, CF Benchmarks are regulated by U.K’s Financial Conduct Authority (FCA) hence an additional value in terms of compliance and trustworthiness. The firm’s benchmark indexes for digital assets have so far been used to value over $200 billion worth of crypto derivatives, listed by Kraken Futures and CME Group. BlockFi CEO, Zac Prince, was keen to highlight these competitive advantages given their goal to scale crypto adoption,
“CF Benchmarks has set the gold standard for crypto price indexes, and these credible and regulated price sources are imperative to the acceleration and support of the rapid crypto adoption we're seeing from institutional and retail investors worldwide.”
This CF Benchmarks hailed ‘independent pricing approach’ leverages transparent governance and public methodologies to generate indexes for tracking and valuing crypto assets. According to the company’s CEO, Sui Chung, the structure of their crypto benchmark indexes is unique in that,
“We use tried and trusted methods from traditional finance combined with crypto-specific concepts while providing the utmost transparency through published methodologies, policies, governance, and oversight.”
Chung also highlighted that they are proud to be working with an industry leader like BlockFi, which has now identified the value proposition in putting licensed and robust crypto indexes to use.