Big Four auditing firm KPMG has entered into a strategic partnership with crypto analytic firm Coin Metrics in order to support growth in institutional adoption of crypto and blockchain, the firm said in a press release on 27 October.
According to the announcement, the auditing firm will integrate Coin Metrics’ set of institutional products with its own KPMG Chain Fusion, a suit of tools for crypto management released in June, and aimed at both traditional and fintech companies. The Big Four firm will leverage Coin Metrics’ FARUM tools for managing risks in blockchain networks, as well as the firm’s ATLAS product, which will help KPMG with collecting data from Coin Metrics.
The co-lead of KPMG’s Cryptoasset Services, Sal Ternullo, said in a statement:
“The integration of Coin Metrics’ Atlas and Farum products and KPMG Chain Fusion provides a trusted foundation for adoption of digital assets. Farum represents a significant step forward for custodians and exchanges who are exposed to often, unmonitored blockchain network risks that may impact their businesses.”
Founded in 2017, Coin Metrics started as an open-source project aimed at determining the economic significance of public blockchains, and helping individuals and institutions in making “informed crypto financial decisions”. Its FARUM tool is also aimed at that, and enables organizations to monitor and manage “network attacks, transaction reorganizations, fee volatility and unusual network event risks”.
Back in 2018, KPMG came out with a bullish report on cryptocurrencies, which claimed that the crypto ecosystem could “realize its potential” only when enough institutional investors join the industry.
The firm said at the time:
“Cryptoassets have potential. But for them to realize this potential, institutionalization is needed. Institutionalization is the at-scale participation in the crypto market of banks, broker dealers, exchanges, payment providers, fintechs, and other entities in the global financial services ecosystem. We believe this is a necessary next step for crypto to create trust and scale.”
Last year the firm delved even deeper into the blockchain space, and partnered with tech companies Tomia, Microsoft and R3 to create a blockchain solution for telecom settlements. Earlier this month, KPMG also unveiled its blockchain based Climate Accounting Infrastructure solution, which uses blockchain to store environmental data, and help companies meet environmental, social, and corporate governance targets