Coinbase recently acquired One River digital asset manager (ORDAM), a leading institutional digital asset manager, and the Securities and Exchange Commission (SEC), a registered investment advisor.
The newly acquired digital asset manager is declare via a blog post, stating that it will become Coinbase Asset Management (CBAM), operating as an independent business and a “wholly owned” subsidiary of the exchange; they added:
In pursuit of our goal of bridging the gap between institutions and the crypto economy, we are pleased to announce that Coinbase has acquired One River Digital Asset Management, a subsidiary of One River Asset Management.
Furthermore, according to the US-based crypto exchange’s announcement, One River will also be the base of Coinbase Asset Management, providing advisory services to future institutional clients.
On the other hand, Eric Peters will continue as CEO/CIO of One River. According to the exchange, One River will continue to operate as an independent entity within Coinbase.
Coinbase Updates Troops
Crypto exchanges had a very turbulent February and have started March at the same pace. One River, founded by macro trader Eric Peters in 2013, will allow Coinbase to expand its reach to more customers. Coinbase concludes:
We welcome top talent at Coinbase, and the One River Digital Asset Management team represents the best expertise in the field. We look forward to working with them to build their asset management business and provide industry-leading products and services to the institutions they support.
The new announcement follows the end of Coinbase’s partnership with the bank-friendly crypto Silvergate because the financial institution delayed submitting its annual financial report, which has caused concern among investors and the exchange team itself. The crypto exchange claims to have “minimal” exposure to Silvergate.
In addition, One River will act as a consultant for exchanges and services following the recent crypto crackdown by the SEC and regulators in US jurisdictions.
Coinbase and One River digital before working together in February 2022 when asset managers offer ONE digital SMA solution for wealth managers. Coinbase Prime worked with One River Digital to map investment processes, operational workflows, security requirements, and permissions to create a best-in-class solution for institutions.
COIN shares are trading at $63.91 on the Nasdaq Stock Market. COIN has dropped from a high of $66 after breaking up with Silvergate. Shares have recovered after announcing the acquisition of digital asset manager One River.
After trading sideways since the opening bell, COIN stock has seen a slight gain of 0.03% over the past 24 hours and 0.05% over the past seven days.
Feature image from Unsplash, chart from TradingView.com.