In order to offer crypto custody and trading services to the institutional clients, the investment management firm Galaxy Digital partners with the Bitcoin derivatives company Bakkt who also offers custody solutions.
According to the official announcement published today, Galaxy Digital’s Galaxy Digital Trading will equip investors with market access along with crypto trading services while Bakkt Warehouse will offer advanced custody solutions to clients. The two prominent companies in the finance world will offer a complete package to the premium users including onboarding, trade executions, and safeguarding of digital assets.
Trading and Market Access by Galaxy Digital Trading
Galaxy Digital Trading is known for providing a 24-hour global trading model and its top-notch products include trading, derivatives, lending, and other trending structured products.
The head of sales at Galaxy Digital Trading, Tim Plakas, accepts that traditional asset managers are now more interested in Bitcoin, and that’s why the partnership between the two companies comes into existence. Plakas said:
“These funds expect the same caliber of market knowledge and trade execution expertise in BTC as they would expect from any established traditional finance desk, and Galaxy provides that, while Bakkt delivers the high level of regulatory-compliant security required for storing digital assets. Together, Galaxy Digital and Bakkt offer a safe, efficient, and well-regulated route into physical bitcoin access, one that has been already proven successful in the macro hedge fund space.”
Bakkt as a Custodian of Assets
After the successful launch of the Bitcoin futures trading platform in 2019, Bakkt started offering the Bitcoin custody solutions by rolling out Bakkt Warehouse, complied and regulated by the New York State Department of Financial Services.
John Conneely, Head of Custody Business Development at Bakkt, said:
“Alongside our adoption of safekeeping requirements that are unique to the digital asset class and its infrastructure, the Bakkt Warehouse uses the same best-in-class, trusted enterprise security framework that protects ICE’s dozen exchanges around the world, including the New York Stock Exchange. As one of the largest trading operations in the digital asset space, Galaxy Digital’s execution expertise and Bakkt’s custody solution are highly complementary.”