A new founding round will help London-based digital asset startup Copper mee the burgeoning need for cryptocurrency custody services.

Tech business publication BusinessCloud reported on February. 17 that Copper has raised $eight one thousand thousand in a Series A circular which included venture upper-case letter firms like MMC Ventures and LocalGlobe. With such upper-case letter, Copper founder and CEO Dmitry Tokarev have expressed his intention of enhancing their offerings in North America and Asia:

"Copper was e'er designed to be a global offer. This venture funding round is a existent vote of conviction from investors. Their support will allow us to accelerate our calibration upwards, hiring teams in fundamental regions and introducing new products and services to better run into their needs."

Launched in 2018, Copper provides its clients access to crypto trading without taking digital avails out of its custody. This investment will allow Copper to hire concern development teams for these markets in addition to specialists handling local crypto regulations. The company had planned on establishing new offices in Hong Kong, but such efforts accept been curtailed with the recent outbreak of the coronavirus.

The future of crypto custody providers

Cryptocurrencies accept always faced challenges when it comes to reducing gamble and making themselves regulatory compliant for traditional investors. Providing custody for Bitcoin (BTC) and others is condign increasingly more complex due to the nature of crypto: whoever has control of the nugget, owns the nugget.

While users typically had to store their ain BTC individual keys when the cryptocurrency was launched, now in that location are more solutions like cypherpunk storage and crypto banks like Coinbase.

At present, crypto custody solutions range from cocky-custody, third-party custody and inter-exchange custody.

Coinbase remains the clear leader amid crypto custody providers, but the manufacture is still evolving in contrast to traditional finance. Custody of cryptocurrency, equally well as insurance against theft and hacking, need to be addressed to attract more than additional investors. Canada-based crypto custodian Knøx secured $6.2 million in seed majuscule on Sept. 24. Copper'due south accomplishment is just the latest instance of investors seeing the potential of these startups.