A 50k BTC follow up

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dindustries
Aug 2, 2019

"Objection, evasion, joyous distrust, and love of irony are signs of health; everything absolute belongs to pathology.”

-Friedrich Nietzsche


Grayscale Selects Coinbase Custody as Custodian


So, a brief follow up to the insight I posted a couple days ago regarding Grayscale and the cold storage company Xapo. As irony would have it, it appears as though Xapo may be the company on the losing end of todays announcements.


https://www.globenewswire.com/news-release/2019/08/02/1896358/0/en/Grayscale-Selects-Coinbase-Custody-as-Custodian.html
https://blog.coinbase.com/welcoming-grayscale-the-worlds-largest-crypto-fund-to-coinbase-custody-72e6694e9ea3

As of a few hours ago, both Grayscale and Coinbase Custody made public statements announcing that Barry and Brian's companies will begin a new business relationship. Effective July 29, 2019 Coinbase Custody will serve as custodian for Grayscale’s single-asset investment products and their underlying assets in Bitcoin, Bitcoin Cash, Ethereum, Ethereum Classic, Litecoin, Stellar, XRP, and Zcash.


What this means for the current custodian to Grayscale, Xapo, remains to be seen. Though I'm inclined to assume that they may be bidding farewell to Barry and friends due to this line at the end of the announcement on Grayscale's website.

The existing agreement is between Xapo and Grayscale.

But so far I have not seen anything confirming this. At the same time there is no mention (that I can find) of Coinbase having purchased Xapo's custody business. Nonetheless, it would seem as though some parts of past rumors were valid. Either way, this is a major win for Coinbase. Although, if I were a Grayscale client I would be wondering what kind of access the Neutrino team will have, or take, once the Grayscale book is in-house?

Assets from this insight

Ethereum logo

EthereumETH

$ 144.94

0.16%in last 7d
Bitcoin logo

BitcoinBTC

$ 7267.73

0.34%in last 7d
Ethereum Classic logo

Ethereum ClassicETC

$ 3.86

0.61%in last 7d
Litecoin logo

LitecoinLTC

$ 44.50

2.22%in last 7d
Stellar logo

StellarXLM

$ 0.052850

3.66%in last 7d