KPMG, Coin Metrics partner to offer institutional investors crypto data and services

Big Four auditing firm KPMG announced a partnership with cryptocurrency market and network data firm Coin Metrics.

According to an Oct. 27 announcement, KPMG and Coin Metrics will jointly deliver crypto data, insights, proprietary analytics, and cryptoasset services. The collaboration aims to support growth in the institutional adoption of crypto assets and public blockchains.

The announcement said that the two firms will combine Coin Metrics’ full-suite of institutional data products with KPMG’s Chain Fusion data standardization tool. As Modern Consensus reported in late June, Fusion aims to allow traditional financial systems to communicate more effectively with blockchain protocols.

The service offered by the two firms will also include Coin Metrics’ Farum blockchain risk management tool, which allows its users to monitor and manage network attacks, transaction reorganizations, fee volatility, and unusual network event risks. Furthermore, also the firm’s Atlas on-chain data source will be available to the customers of the joint service. KPMG Cryptoasset Services co-lead Sal Ternullo commented:

“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 bets on blockchain

The investment in blockchain and crypto tool suites by KPMG is not surprising given the comments that the firm’s representatives made on those technologies in the past. In late February, the auditor noted that investment in blockchain and crypto technologies dropped from $6.3 billion in 2018 to just $4.7 billion last year, but despite that the company’s head of blockchain services Laszlo Peter said:

“Blockchain continues to be a key investment area, and we’re really starting to see large corporates and governments get in on the action.”

Other major auditors are also investing heavily in blockchain and crypto asset-related research and development. Such investments are already paying off, as big four auditing firm EY recently led the consortium that placed the only bid to lead South Korea’s central bank digital currency pilot project.