• Coinbase acquires crypto asset manager One River Digital in bid to spur growth
• Coinbase will form its asset management business and offer advisory services to institutional clients
• Acquisition marks formation of Coinbase Asset Management and allows for institutional access to cryptoeconomy

Coinbase Acquires Crypto Asset Manager One River Digital

Coinbase, one of the largest centralized crypto exchanges in the world, has announced that it has acquired One River Digital, an asset management firm focused on cryptocurrencies. Coinbase was an early investor in One River Digital. This acquisition marks the formation of Coinbase’s asset management business and offers investment advisory services to a range of new and existing institutional clients.

One River Digital Will Operate as Independent Business

One River Digital, founded in 2013, will operate as an independent business and wholly-owned subsidiary of Coinbase. This means that One River Digital will continue to operate as an independent entity under Coinbase with minimal disruption to current business activities. Standard controls have been implemented among well-regulated and diversified financial institutions.

Why You Should Care

The acquisition of One River Digital by Coinbase means that the exchange will be able to offer institutional investors better access to the crypto markets. This might mean retail investors’ investments might grow exponentially as institutional whales enter the markets.

Coinbase Stock Moves Little on News

Coinbase stock moved little on the news; COIN is currently trading at around $63, down 1% compared to yesterday according to data from Yahoo! Finance.

Final Takeaway

The acquisition of One River Digital by Coinbase means that more institutional investors can have better access to cryptocurrency markets which could potentially increase retail investors‘ investments significantly due to increased activity from larger players in the market.