Coinbase’s blog post said, “We look forward to working with [One River Digital Asset Management] in building our asset management business and providing industry-leading products and services to the institutions we support.”
Coinbase has acquired hedge fund manager One River Digital Asset Management (ORDAM) to expand business following a decline in annual transaction volume.
In its blog post, Coinbase claimed that ORDAM will be rebranded as Coinbase Asset Management (CBAM). Before its acquisition by Coinbase, ORDAM specialized in providing investment advice to institutional investors.
CBAM will operate as an independent firm “wholly owned” by Coinbase. Moreover, Eric Peters will remain the CEO of the firm.
CBAM will focus on providing investment advisory services to clients without involvement of Coinbase’s trading platforms. In the words of Coinbase’s head of institutional product Greg Tusar,
“We expect to build — on the other side of this crypto winter — an awesome asset-management business.”
Although negotiations between the two firms began around 2022, the details of the acquisition deal are still undisclosed.
Coinbase and ORDAM have collaborated many times in the past, with ORDAM leveraging Coinbase Prime to serve institutional clients.
Furthermore, Coinbase recently announced that it will stop accepting payments via Silvergate Bank. The exchange cited the ongoing investigation into the Californian bank as the reason behind terminating their partnership.
Written by
Ayush Pande
Ayush Pande is a hardware, gaming, and crypto writer based in India. He's a tech enthusiast who's fascinated by the potential of blockchain technology.
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