Yahoo Finance KPMG in Canada invests in bitcoin and ethereum
Bitcoin and ethereum continue to go mainstream as KPMG in Canada says it is adding them to its corporate treasury for the first time.
The Canadian unit of the ‘big four’ professional services firm says crypto assets are a "maturing asset class.”
“Investors such as hedge funds and family offices to large insurers and pension funds are increasingly gaining exposure to cryptoassets, and traditional financial services such as banks, financial advisors and brokerages are exploring offering products and services involving cryptoassets,” said Benjie Thomas, Canadian managing partner, advisory services, KPMG in Canada in a release.
“This investment reflects our belief that institutional adoption of cryptoassets and blockchain technology will continue to grow and become a regular part of the asset mix."
KPMG says it put together a governance committee to look at all of the angles before making the investment decision including risk and tax implications. It says the investment represents its outlook on emerging technologies underpinned by blockchain.
“The cryptoasset industry continues to grow and mature and it needs to be considered by financial services and institutional investors,” says Kareem Sadek, advisory partner, cryptoassets and blockchain Services co-leader, KPMG in Canada.
“We’ve invested in a strong cryptoassets practice and we will continue to enhance and build on our capabilities across Decentralized Finance (DeFi), Non-Fungible Tokens (NFTs) and the Metaverse, to name a few. We expect to see a lot of growth in these areas in the years to come.”
KPMG says the purchase was made through Gemini Trust Company LLC’s execution and custody services.
A recent report by KPMG found investment in cryptocurrency and blockchain rose from $5.4 billion globally in 2020 over $30 billion in 2021.
"Globally, there was an incredible increase in the level of recognition for the potential role of crypto and its underlying technologies in modern financial systems," read the report.
"Increasing activity in the space has also sparked further action from central banks, some of which are considering the development of digital currencies in the footsteps of the digital yuan in China."
Jessy Bains is a senior reporter at Yahoo Finance Canada. Follow him on Twitter @jessysbains.
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