KPMG, Coin Metrics Partner to Grow Institutional Crypto Adoption

The “Big Four” accounting firm and cryptocurrency market data provider have announced a plan to integrate some of their products.

2 min read

Oct 27, 2020

KPMG, one of the “Big Four” accounting firms along with Deloitte, EY, and PwC, has announced a “strategic alliance” with crypto market data firm Coin Metrics.

The company sees the partnership as a way to “support growth in institutional adoption of cryptoassets and public blockchains.”

The announcement comes at a time when financial institutions' need for accounting and auditing services is growing, as evidenced by PayPal's announcement that it would soon allow users to buy and sell cryptocurrency.

The alliance centers around three products: ATLAS and FARUM from Coin Metrics and Chain Fusion from KPMG.

FARUM is a risk management tool for monitoring not only potential attacks on a blockchain network but also fee volatility and unusual events. It pulls data from nodes, mining pools, and other sources.

ATLAS is a blockchain search tool for auditing transactions on popular blockchains. One of its key utilities is determining the value of assets for reporting capital gains or losses on taxes—something KPMG’s global tax accounting team would value.

Both products will integrate with Chain Fusion, KPMG’s digital asset suite for helping fintech firms and financial services companies navigate everything from anti-money laundering regulations to financial risks.

According to Sal Ternullo, the co-lead of KPMG Cryptoasset Services, “The integration of Coin Metrics’ Atlas and Farum products and KPMG Chain Fusion provides a trusted foundation for adoption of digital assets. Farum represents a significant step forward for custodians and exchanges who are exposed to often unmonitored blockchain network risks that may impact their businesses.”

KPMG provides auditing services to major financial institutions, including Citigroup, Deutsche Bank, and Wells Fargo.

Like other members of the Big Four, it jumped into cryptocurrencies fairly early. Sam Wyner, the firm's other co-lead of Cryptoasset Services, told Decrypt last month that the firm was managing client requests to wade through compliance and security issues related to crypto custody.

Its latest move will help it stay competitive with its cohort. Ernst and Young created its own crypto tax service this summer while PwC formed a partnership with ChainSecurity to audit smart contracts. Deloitte, meanwhile, maintains a team of software developers to help clients maintain blockchain products.

Get crypto news straight to your inbox--

sign up for the Decrypt Daily below. (It’s free).

Get Email!

El Salvador to Scale Back Bitcoin Efforts Under $1.4 Billion IMF Deal

After four years of negotiations, El Salvador entered a $1.4 billion loan agreement with the International Monetary Fund (IMF) Wednesday. The deal, however, may not be as sweet as it sounds. Provisions on the agreement imply that if approved, El Salvador would have to scale back certain aspects of its Bitcoin strategy, according to a statement from the intergovernmental organization. Initial details of the deal were disclosed earlier this month, with sources previously telling Decrypt the plan i...

Play-to-Earn Declines as Blockchain Gaming Shifts to Ecosystem Integrations

Blockchain gaming is reaching a new stage of maturity, with increasing numbers of players accessing games more seamlessly, according to an organization focused on advancing the technology in the gaming sector. However, there are changes in the sector that could create dramatic shifts as traditional gaming developers come into play. The changing tides coincide with major studios like Sony and Square Enix entering the space through layer-2 solutions, according to an industry survey released by the...

Bitcoin, Crypto Eye Recovery as Analysts Bet on Resilience Despite Fed’s Hawkish Pivot

Crypto and broader equities fell sharply Wednesday as traders attempted to divine next year’s outlook following a hawkish pivot from the U.S. central bank. While the 25 basis point cut delivered by the Federal Reserve on Wednesday was largely priced in, concerns flared as the bank signaled interest rates may not go down again anytime soon. During a press conference, Fed Chair Jerome Powell told reporters that while inflation was “steadily” receding, recent high readings indicated it had been “sl...

News

Courses

Deep Dives

Coins

Videos