• Northstake, a cryptocurrency staking platform aimed at institutional investors, raised 2.8 million euros ($3 million).
• The Copenhagen-based company simplifies the process of staking with partnerships with custody technology firm Fireblocks and blockchain analytics provider Chainalysis.
• Among the investors in Northstake is ATP, a state-owned pension fund in Denmark and one of the largest asset managers in Europe.

Northstake Raises $3M to Boost Institutional Crypto Staking

Northstake, a cryptocurrency staking platform aimed at institutional investors, has successfully raised 2.8 million euros ($3 million) from PreSeed Ventures, Morph Capital, The Aventures Fund, Funfair Ventures and Delta Blockchain Fund. The Copenhagen-based company takes care of the legal and technical sides of staking – the process of supporting a public blockchain such as Ethereum by posting collateral to the network in return for yield – in a regulatory compliant manner.

Simplifying Staking Process

Northstake simplifies the process while keeping compliance in mind through partnerships with custody technology firm Fireblocks and blockchain analytics provider Chainalysis. This allows institutional investors to get some exposure to staking crypto without having to worry about complexities associated with decentralized staking protocols offered by providers like Lido or Rocketpool – such as AML risks associated with not knowing who a staking counterparty is or what type of funds are being funneled through smart contracts.

Institutional Investors Show Interest

The great expectations within crypto for financial institutions have been met with strong interest from sovereign wealth funds and other large asset managers. One example is ATP , a state-owned pension fund in Denmark which is one of Northstake’s beneficial owners.

Key Benefits for Institutional Investors

The key benefits Northstakes offers institutions include providing them access to returns on proof-of-stake networks without having to worry about implementation complexity or risk management challenges that come along with it. Moreover, crypto assets can be secured safely by using industry leading custodial solutions provided by Fireblocks while Chainalysis helps secure full compliance requirements for customers involved in their services.

Northstakes’ Successful Fundraise

Northstakes’ successful fundraise exemplifies how more traditional financial firms are now showing interest investing into this new field as well as how viable this industry has become over time due to an increase demand from both retail and institutional customers alike seeking high yields on their investments without having too much risk exposure on their portfolios.

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