Asset management investment firm GL21 CAPITAL has selected digital asset staking provider Northstake A/S to service its Ethereum Staking A/S fund.
The fund has an initial target of US $150 million, and has an estimated 4.8 per cent ether yield garnered through staking and market returns.
Northstake aims to reduce counterparty risk by fully collateralising all investments. Additionally, all client funds are protected and segregated through Fireblocks’ multi-party computation solution.
The service also minimises risks around legal and compliance issues through an anti-money laundering compliance system.
Jesper Johansen, founder and CEO of Northstake, says: “The launch of this fund unlocks a new opportunity for institutional investors to generate yield from Ethereum, without having to hold crypto directly in their portfolios. Despite typically high barriers to entry for newcomers, we’re seeing that traditional investors want exposure to crypto assets.
“In order to get involved with digital assets, institutional investors need to be sure of their providers’ risk profile, anti-money laundering standards and regulatory status. Northstake is fully regulated under the Danish Financial Supervisory Authority and the 5th EU Anti-Money Laundering Directive, offering investors peace of mind in this regard.”
