The firm has sustained tremendous growth across its services despite slow market recovery
Unchained, the leader in financial services for bitcoin holders, reported a 170% increase in loans collateralized by bitcoin from Q1 to Q2 2023. The firm also saw an 88% jump in business accounts, 67% in private client subscriptions, and 260% in inheritance service clientele during this timeframe.
This growth followed the 2022 crypto market contagion, during which now-bankrupt lenders lost over $5 billion in customer funds and BTC dropped over 65%. It demonstrates the confidence investors have in both Unchained’s platform and bitcoin as an asset.
Latest Fintech News: EDX Markets Selects Anchorage Digital as Custody Provider for New Clearinghouse Business
“Unchained is committed to providing the ease and sophistication of traditional financial services without compromising the financial sovereignty that bitcoin enables,” said Joe Kelly, co-founder and CEO of Unchained. “Our clients choose Unchained because our collaborative custody technology gives them the greatest possible control and transparency over their funds. The collapse of our former competitors that operated as third-party custodians, albeit unfortunate, proved to be effectual marketing for Unchained.”
Latest Fintech News: Kestra Private Wealth Services Expands California Presence by Onboarding $124 Million Thriving Asset Management
Unchained’s collaborative custody model, which requires two of three private keys to access a client’s bitcoin even when it is used as loan collateral, assures investors that Unchained is not able to singularly move or rehypothecate their funds, as many now-defunct crypto firms did prior to their collapse. With a 170% increase in loan activity from Q1 to Q2, Unchained’s multisignature solution has proven to appease borrower caution amidst market pullback.
Further, while the percentage of bitcoin held on exchanges has dropped to a five-year low of 12% during the first half of 20231, Unchained saw 88% growth in business accounts during this time — indicating that institutions and corporate bitcoin holders are increasingly seeking to minimize counterparty risk. This is further underscored by the immediate popularity of Unchained Signature, the firm’s private client service for high-net-worth individuals, institutions, and corporations. Institutional sales jumped by 67% in Q2 vs Q1.
Latest Fintech News: Thales Launches Cloud-based Payment HSM Service to Help Accelerate Adoption of Cloud Payments Infrastructure
To share your insights with us, please write to sghosh@martechseries.com]
