Institutional crypto custodians raised more than $3 billion in 2021

Crypto custodial firms focused on the institutional market experienced a significant upswing in funding in 2021, according to The Block Research.

Such firms have raised more than $3 billion this year. As noted in The Block Research's 2022 Digital Asset Outlook Report, the rate of investments was more than three times higher than 2020. 



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Major funding rounds include Anchorage's aforementioned $350 million raise, Ledger's $380 million raise, Fireblocks' $310 million raise and Copper's $50 million raise. The latter startup is now said to be eyeing more than $500 million in fresh funding, as previously reported. 

As noted by The Block Research's Carlos Reyes and Greg Lim, such funding rounds are likely to carry implications for the digital asset industry moving into 2022.

"In 2022, the investments into digital asset custody are likely to bear fruit in the form of enhanced service offerings and continued innovation into the technologies that enable digital asset custody," they wrote. "The space will also continue to grow as traditional financial institutions such as BBVA, BNY Mellon, and U.S. Bank among others, enter or expand their digital asset offerings, including custody, either directly or by partnering with an existing custodian."

Read the full 2022 Digital Asset Outlook Report here.