Titled “NASDAQ Digital Assets,” the new business will initially develop an advanced custody solution.

With a view to driving broader institutional adoption of digital assets, NASDAQ has launched a new digital assets business titled Nasdaq Digital Assets to provide a proprietary custody solution with liquidity and execution services for financial institutions. (THE TRADE)

Nasdaq Digital Assets would be led by Ira Auerbach, the former global head of Gemini Prime. As Senior Vice President, Head of Digital Assets, he will report to Tal Cohen, Executive Vice President, North American Markets.

It will initially develop an advanced custody solution that will incorporate the best attributes of hot and cold crypto wallets and would provide a high degree of accessibility and scalability without compromising security. This solution is expected to address the industry challenges with respect to connectivity, availability, and efficiency, that often limit institutional interest in the digital asset space.

Observing that institutional interest in digital assets had been rising in recent years, Cohen said in a statement: “With our trusted brand and strong track record as a technology provider for the global capital markets, Nasdaq is uniquely placed to address industry pain points by improving liquidity, scalability, and resiliency, with the goal to engender greater trust and confidence in the digital assets ecosystem.”

“Nasdaq Digital Assets builds upon the successful solutions we have introduced in recent years to serve the digital assets ecosystem, including marketplace technology for digital asset exchanges, crypto-native anti-financial crime offerings, and crypto-related index solutions for tradable products,” said Adena Friedman, President and Chief Executive Officer, Nasdaq.

Separately, NASDAQ announced the expansion of its anti-financial crime technology capabilities for digital assets. The exchange said it had launched, through its Verafin and Surveillance product offerings, a comprehensive suite of crypto-specific detection capabilities to tackle risks and continuously monitor money laundering, fraud, and market abuse across traditional and digital assets, fiat and crypto, and on- and off-chain activities.

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