Winklevoss Twin’s Gemini And State Street Partner To Launch a Digital Asset Custody Pilot
Gemini crypto exchange and State Street Corporation have entered into a partnership agreement that will see the two financial service providers introduce a digital asset pilot. The pilot will be for digital asset holdings under custody.
According to a December 17th press release, the two companies will introduce a pilot program that will see them combine back-office reporting provided by State Street with Gemini Custody, which is the official custody wing of the exchange. This project will make it possible for the consumers to amalgamate their traditional assets reporting facilitated by State Street with the crypto assets reporting made possible by Gemini.
Slight but Improving Mandate
As a start, the pilot program will mainly focus on producing accounts on two crypto assets that will be selected for liquidity purposes within the exchange. The partners have stated that in the near future, their clients will be in a position to receive accounts of all their assets, including additional assets like security tokens.
Ralph Achkar, who is the State Street managing director in charge of digital development and innovation commented on this development and noted that:
“At the moment, they have noticed a small, but improving demand from its clients for this kind of solution. In addition, there exist numerous legal, technical, regulatory, and operational considerations that will need to be taken care of.”
Tyler Winklevoss, the Gemini CEO noted that old-fashioned venture capitalists will now be in a position to seamlessly allocate assets already present in their digital portfolios to crypto assets. They will be able to do this using regulated, trusted, and reliable financial institutions.
The Gemini Custody platform was officially launched in September 2019. It makes it possible for clients to trade the crypto assets that they already have in custody on their official exchange without having to wait for these assets to undergo the transfer process from cold storage.