Bitpanda launches institutional crypto platform with cold storage

Austrian fintech unicorn Bitpanda is launching an institutional-grade cryptocurrency trading platform in response to the growing demand for institutional crypto services in Europe.

Bitpanda, a major cryptocurrency broker founded in 2014, has launched Bitpanda Wealth, a new service targeting high-net-worth individuals, family offices, external asset managers and corporate treasuries.

Announcing the news on Jan. 30, Bitpanda said that the new institutional platform was built using the same infrastructure that several major European banks trusted. Bitpanda Wealth offers a suite of services to facilitate crypto investment, management and reporting services, also featuring leverage products, exchange-traded funds, commodities and other assets.

Bitpanda is turning its attention to a sector in Europe that “seems underserved,” Bitpanda co-founder and CEO Eric Demuth told Cointelegraph.

“There’s a notable interest in this area, yet it lacks adequate solutions,” Demuth said, adding that Bitpanda has engaged with “numerous private banks and affluent clients who have expressed a need for a distinct service.”

The new institutional platform uses Bitpanda’s proprietary custody solution known as Bitpanda Custody, which applies cold storage to keep its clients’ assets safe, the CEO noted. Registered with the United Kingdom’s Financial Conduct Authority, Bitpanda Custody offers segregated wallets for institutional investors, service providers, token issuers and corporate treasuries.

Demuth stated:

Cold storage, also known as a cold wallet, is one of the most secure ways to store the private keys that enable access to crypto holdings. Unlike online hot wallets — which are often used by crypto trading platforms — cold wallets are disconnected from the internet, significantly reducing the chances of security breaches and hacks.