- Valkyrie, a digital asset investment firm, launches the first protocol treasury management service on the market.
- Valkyrie Investments has launched a treasury management service for cryptocurrency companies looking to delegate balance-sheet responsibilities.
- Its first client will be the recently merged NEM/Symbol protocols, which have previously reported management issues.
Valkyrie, a digital asset investment firm, wants to help cryptocurrency companies manage their balance sheets and also announced the launch of a protocol treasury management service that will assist companies in the crypto space with cash flow management, advanced reporting, and other services.
“The natural evolution of a rapidly growing industry is treasury management becoming the norm,” said Leah Wald, CEO of Valkyrie Investments. “It was unavoidable that someone would offer it, and we’re thrilled to be the first.”
Companies in the blockchain space frequently work with funds in the hundreds of millions of dollars, according to Wald, and offloading financial management tasks will be a continuing trend as the space grows.
“Treasury management frees up founders and developers to focus on what they do best, building and expanding, while leaving financial matters to experienced money managers,” Wald explained.
“Projects that choose to work with a fiduciary to oversee their assets build even more trust with their communities, backers, and outsiders by bringing a level of transparency and rigors to this process that others may not have considered.”
NEM/Symbol, two layer-1 protocols that announced their merger in 2021 with a $700 million token treasury, are the first to collaborate with Valkyrie on its treasury management offering. According to reports, treasury management has been a challenge for the protocols in the past. When the NEM Foundation was restructured in January 2019, it was only one month away from running out of funds.
“Throughout our discussions with their core team, it became clear that they and many other founders and developers are spending far too much time worrying about money management, which takes away from their ability to effectively lead and expand at the rate they’d like,” Wald said.
Valkyrie became the second issuer to list a futures-based bitcoin ETF in the US earlier this month, helping the company secure $1 billion in assets under management.
Disclaimer: These are the writer’s opinions and should not be considered investment advice. Readers should do their own research.
