Blockchain security company GK8 announces custody partnership with Stellar

Published at: Sept. 6, 2021

Blockchain cybersecurity company GK8 will be offering custody and tokenization services to the Stellar network, a move that could spark institutional interest in the Stellar Lumen (XLM) token. 

By integrating with Stellar, customers of GK8 can access XLM investments in a custodial setting, opening the door to offline transactions of the digital currency, the company announced Monday. GK8 has said that its infrastructure eliminates the risk of cyberattacks while also providing scalable, high-frequency transactions.

GK8 co-founder and CEO Lior Lamesh said the partnership enables XLM’s institutional investors to “generate new revenue streams, digitize assets, trade, and transform currency as it’s sent.”

Stellar operates as a blockchain-based payment network that initially forked away from the XRP protocol in 2014. XLM has a total market capitalization of $9.8 billion, placing it 22nd among active crypto projects. The token has gained 23% over the week, according to CoinMarketCap.

GK8 has secured several high-profile partnerships over the past year as it continues to expand institutional blockchain infrastructure. As Cointelegraph reported in August, State Street-backed Securrency partnered with GK8 to expand its tokenized infrastructure. GK8 has also engaged Mastercard in its Startup Path program.

Related: Evrynet's $7M raise highlights institutional appetite for DeFi

Institutional appetite for cryptocurrencies is on the rise thanks to the emergence of new use cases for digital assets. A large percentage of wealth managers plan to either buy crypto for the first time or expand their existing holdings. Financial advisers could be leading the adoption drive now that crypto investing has been de-risked from a reputational standpoint.

Traditional financial institutions have also begun rolling out institutional custody services. In May of, the 103-year-old bank Cowen said it wants to hold cryptocurrencies on behalf of asset managers and hedge funds.

Tags
Business
Investments
Cybersecurity
Stellar
Related Posts
Abra Garners $5 Million from Stellar Development Foundation
The Stellar Development Foundation, or SDF, has allocated $5 million to crypto investment app Abra. The company now looks to incorporate the Stellar blockchain into its platform, as well as develop Stellar-based products. "We believe Stellar’s platform is one of the most scalable and versatile cryptocurrency platforms available today," Abra CEO and founder Bill Barhydt told Cointelegraph in an email, adding: "That combined with a similar shared mission of democratizing access to financial services means that our companies are strongly aligned in our services roadmap going forward." The Abra investment is only the foundation's second financing move using its enterprise …
Business / May 6, 2020
Galaxy Interactive raises another $325M fund aimed at metaverse and next-gen games
Galaxy Interactive, a venture capital firm focused on next-generation interactive technology, has announced it has raised $325 million for its second fund from 70 different investors. The fund is focused on virtual and augmented reality, artificial intelligence and blockchain-based games. In a Tuesday announcement, Galaxy Digital, the majority owner of Galaxy Interactive, stated that $150 million from the fund has already been allocated to new portfolio companies, including Republic, 1047 Games, Elodie, Roar, Art Blocks and Masterworks, with other additional investments to be announced in coming months. Established in 2018 by general partners Sam Englebardt and Richard Kim, the company …
Technology / Oct. 20, 2021
Deutsche Borse’s platform Xetra to list its first Ether ETPs
Deutsche Borse’s electronic trading platform, Xetra, is preparing to launch its first Ether (ETH)-based exchange-traded products, or ETPs. According to data from Xetra, the platform is set to debut trading of two Ether ETPs — ETC Group’s Ether exchange-traded commodity, or ETC, product (ZETH) and 21Shares’ Ethereum ETP (AETH) — on Tuesday. A spokesperson for Deutsche Borse told Cointelegraph that the two products will be the first Ether ETPs to ever be listed on Xetra. Alongside AETH, Xetra will be also listing 21Shares’ Bitcoin Cash (BCH) ETP, the firm’s global head of ETP, Laurent Kssis, told Cointelegraph. “As of tomorrow …
Ethereum / March 8, 2021
Canadian firm planning to convert its Bitcoin trust to an ETF
Less than two months after launching trading for shares of its Bitcoin trust, Canada-based investment manager Ninepoint Partners is planning to change its offering to an exchange-traded fund. In an announcement on March 3, Ninepoint said it would be holding a vote for unitholders to decide on whether to convert its existing Bitcoin (BTC) trust to an exchange-traded fund, or ETF, on the Toronto Stock Exchange. The firm said the move is intended to provide a better trading price and increased trading liquidity. Investors will be able to vote on the matter on April 19. "Ninepoint's Bitcoin Trust IPO was …
Etf / March 3, 2021
Telos raises $8M funding before EVM launch to avoid token sales
Blockchain platform Telos raised $8 million in funding led by ConsenSys and Polygon investor John Lilic. The funding was secured right before the launch of Telos’ Ethereum Virtual Machine (EVM) platform, ending the company’s ongoing streak of bootstrapped initiatives. Telos aims to redirect the recently secured capital on the platform’s development and marketing in addition to improving the liquidity of the ecosystem “without needing to resort to TLOS token sales in the event of a prolonged bear market over the next year.” According to Telos chief architect Douglas Horn: “While this [bootstrapping] preserved our identity as an egalitarian, self-governing community, …
Adoption / Nov. 9, 2021