May 16, 2019

Scoop: Coinbase in talks to buy Xapo's Bitcoin custody unit

Illustration: Rebecca Zisser/Axios

Cryptocurrency exchange Coinbase is in talks to acquire the Bitcoin custody business of crypto storage company Xapo, multiple sources tell Axios.

Why it matters: Coinbase has been aggressively working to attract more institutional investors, for whom custody is usually a requirement. It's also facing competition from companies like Fidelity Digital Assets, which we're told had competed for the Xapo deal. Coinbase declined comment.

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