Riot Blockchain Won 500 Bitcoins in U.S. Marshals Auction

The U.S. government held an auction of about 3,813 bitcoins on January 22
24 January 2018   1245

Riot Blockchain Inc. won 500 bitcoins in an auction of property seized by the U.S. Marshals Service. This is reported by Bloomberg.

The U.S. government held an auction of about 3,813 bitcoins that were seized in federal criminal, civil and administrative cases on January 22. Participants had to stump up a $200,000 deposit to take part, and bids were made in cash in U.S. dollars.

Riot, which invests in cryptocurrency and blockchain startups, sought many more of the 3,813 Bitcoins in the auction Monday but was outbid, Chief Executive Officer John O’Rourke said. The company acquired the Bitcoins at about the market price at the time. That works out to about $5.2 million, based on Monday’s closing price of $10,354.

I believe we’ll be heading north of $50,000 market price within the next 12 to 18 months. Our strategy at Riot is to accumulate Bitcoin and to provide our investors as much direct exposure as we can, hence we decided to participate in the auction.

 

John O’Rourke

Chief Executive Officer, Riot Blockchain Inc

The auction, the sixth by the Department of Justice, attracted 62 registered bidders and received 111 bids, the Marshals Service said Tuesday in a statement. The agency doesn’t announce names of auction winners or the total amount raised.

Fidelity Investments to Launch BTC & ETH Platform

New platform is designed for institutional investors
16 October 2018   195

One of the world's largest asset managers, Fidelity Investments, announced the launch of a unit focused on providing institutional investors with Bitcoin and Ethereum services. The Forbes reports.

The new division received the name Fidelity Digital Assets and, possessing a staff of 100 employees, will provide a platform for trading cryptocurrencies and consulting services 24/7.

The platform already has first customers, but its launch for a wider range of investors is scheduled for the beginning of 2019.

This is a recognition that there is institutional demand for these assets as a class. Family offices, hedge funds, other sophisticated investors are starting to think seriously about this space.
 

Tom Jessop

Founding head, Fidelity Digital Assets

In particular, Fidelity Digital Assets will offer a transaction service that, using internal cross-connect and order routers, will trade through third-party liquidity providers.

One of the most popular offers by the company can also be a service for storing Bitcoin and other cryptocurrencies. It is physical storage, distributed in different geographical locations and offering the so-called "cold" storage of digital assets. This way of storing cryptocurrencies without access to the Internet and with a multi-level control system is considered to be one of the safest and most resistant to hacking today.

As the CEO of Fidelity Investments, Abigail Johnson, said, the goal of the new platform is to make digital assets like Bitcoin more accessible to investors.

Fidelity Investments is considered the fifth largest asset manager in the world, offering investment and custody services to 13,000 consulting firms and brokers. In total, the company manages assets worth $ 7.2 trillion.