Jihan Wu’s Matrixport Partners MetaMask to Bring More Institutional Investors to DeFi
The custodian solution of Asian digital assets financial services platform, Matrixport, has become one of the partners of ConsenSys’ MetaMask Institutional (MMI) to help institutional investors meet regulatory compliance requirements particularly in the decentralized finance (DeFi) space.
Matrixport’s Cactus Custody is integrating MMI as the DeFi ecosystem has surpassed US$80 billion in Total Value Locked or 16x more than two years ago. Institutional investors have recognized the opportunities the space offers over the period, says the Jihan Wu-led company in a public statement.
Other custodians that signed the MMI strategic partnerships to allow organizations to seamlessly discover and interact with DeFi are BitGo and Qredo. Custodians help organizations safely acquire and hold crypto assets since they store private keys, approve and sign transactions, and interact directly with brokers and exchanges.
Cactus Custody, as Matrixport’s third-party institutional custody service, currently supports the Ethereum chain thus stands to grant access to all Ethereum-based DeFi protocols. According to ConsenSys, Ethereum dominates the pack (63%) of the top five smart contract platforms which reached an all-time high valuation of $714 billion by market cap on September 7, 2021. It adds that contenders such as Cardano, Binance, Solana and Polkadot also contributed to raising the valuations higher in recent months though each represents less than 15% of the cited valuation.
MMI is a version of MetaMask, the world’s leading DeFi wallet serving over 10 mln monthly active users, which seeks to integrate institution-compliant custody, operational, risk, and compliance features. It was launched in December 2020 to address large numbers of leading institutional investors like crypto funds, market-makers, and trading desks, seeking to increase exposure to DeFi.
MetaMask’s 10 million MAUs across the globe use the wallet to access the decentralized web where they swap, borrow, stake, lend, mint NFTs, buy NFTs, and much more, says ConsenSys. The MMI partnership with Matrixport’s Cactus Custody and others is to help create an audit trail for the regulatory compliance required by institutional investors. Cactus Custody runs enterprise crypto management features and DeFi connectivity for miners, corporates, funds and projects.
“As the DeFi ecosystem blooms, we are working hard to strengthen the infrastructure and accessibility to the entire DeFi ecosystem, including support for other chains, such as Polygon, BSC, Solana, etc.,” says Cynthia Wu, Head of Sales and Business Development at Matrixport.
It should be noted that Central and Southern Asia and Oceania (CSAO) is now the fourth largest cryptocurrency market according to a Chainalysis study which put the value received between July 2020 and June 2021 in their regions at $572.5 billion – or 14% of global transaction value.
The blockchain firm says CSAO’s transaction activity grew by 706% compared to last year in terms of raw value, and its share of global cryptocurrency activity grew by 2%, making CSAO one of the fastest-growing of all the regions studied. It adds that professional-sized transfers between $10,000 and $1 million worth of cryptocurrency make up the largest share of transaction volume in CSAO.