“This analysis is an adaptation from the work of Mati Greenspan, Senior Market Analyst at eToro”
- Bakkt to move ahead despite US Government Shutdown
- Vontobel has announced their own crypto custodial service and digital asset vault
- Ethereum to undergo hard fork tomorrow night
Bakkt moves ahead as scheduled while Vontobel announces crypto custodial services
So the delay of Bakkt because of the US Government Shutdown seems to have disappeared as for now. The Wall Street-backed service, which plans to allow clients to store and spend crypto in a user-friendly and secure way, has clearly demonstrated that they are going ahead despite delays caused by the partial US government shutdown. While all stand still due to shut down, Bakkt CEO Kelly Loeffler announced their first strategic acquisition. To advance its effort, towards building a secure, scalable platform for transacting with digital assets, the upcoming Bakkt has entered into an agreement to acquire certain assets of Rosenthal Collins Group (RCG), an independent futures commission merchant with nearly 100 years of earning clients’ trust.
In December, RCG had announced the sale of all its customer accounts to Marex Spectron, one of the world’s largest commodity brokers. As part of that transaction, Bakkt’s aim was to purchase certain valuable assets related to its platform so the development work can happen quicker. The company expects to close the transaction in February, and are excited to welcome members of the RCG team to Bakkt.
Meanwhile across the Atlantic, in Europe, another financial giant has announced its entry into the crypto- industry. In Switzerland, a country that is way ahead of the curve on crypto adoption, Vontobel has announced their own crypto custodial service and digital asset vault, which is available for their clients now. By this launch, financial intermediaries such as wealth managers in Switzerland, banks and asset managers can – without any significant investment in their own infrastructure – offer their clients an integrated solution for digital assets.
Ethereum to get Constantinople upgrade
Somewhere tomorrow night, At block #7080000, the Ethereum network will undergo a hard fork. Hard forks might seem difficult to understand because of our concentration on to centralized computing, but in a decentralized world, the only way to make a major upgrade is to fork it. To explain by way of an example, when Microsoft wants to upgrade from Windows 9 to Windows 10, they have their dev team write the code, and then users upgrade one by one in their own time. In decentralized computing, the entire network needs to upgrade together.
A hardfork is like a copy-paste action, where a new blockchain is born and if all goes well, the old one dies. Sometimes, when there is a disagreement among the community about the upgrade, some members will choose to keep the old version of the blockchain alive and we see a split. The most famous cases of this were when Bitcoin Cash split off of Bitcoin on August 1st, 2017 and when Ethereum split with Ethereum Classic back in 2016.
However, the Constantinople upgrade has already received widespread backing from the entire community and so one can hope everything to move smoothly. It’s important to note that there is no action required by the end users. If any investors are holding ETH on any wallet or exchange, the upgrade would be implemented automatically.
Fingers crossed for the upcoming few weeks.