Safe Establishes New Subsidiary to Transform into a ‘Enterprise Focused Platform’

As businesses are moving on-chain, Safe has created a new company to lead the development of its Enterprise-grade self-custody products.

Published by

Sneha Agrawal

June 6, 2025

Safe Establishes New Subsidiary to Transform into a ‘Enterprise Focused Platform’

Safe, the leading infrastructure provider of smart contract-based wallet technology, has made a significant announcement around its services.

On Thursday, Safe announced the formation of a new company called “Safe Labs” under its ex- Chief Product Officer Rahul Rumalla. The wholly-owned subsidiary, Safe Labs, aims to avail and develop its Safe Smart Accounts services at an enterprise-grade level.

Ex-CPO Rahul Ramulla – who will now serve as the CEO of Safe Labs – said on the announcement, “My focus ahead is clear: to build world class products that make self-custody effortless for individuals and enterprises.”

Safe Labs to Build Products for Institutions

The purpose of Safe Labs would be building the infrastructure required for businesses to move their services on-chain. The new company would be leveraging its Safe Smart Accounts wallet infra to work on such enterprise-level products.

Core aspect of its smart contract–based wallets services would remain self-custody, giving businesses and enterprises sovereignty and control over their assets. Safe custody avoids the third-party risks by giving exclusive control of private keys to the clients.

The subsidiary intends to further reduce operational overhead by providing features such as blind signing mitigation, enhanced hardware-wallet integrations, and customizable approval policies. These are the pain points that often arise when multisignature setups involve off-device transaction verification.

As per the press release, Safe Labs will have its first product offerings as a wallet-as-a-service (WaaS). This would enable businesses to embed Safe’s Smart Account infra directly into their applications via APIs. It is also set to introduce deeply integrated workflows for functions like token issuance, treasury disbursements, and regulatory reporting.

Announcing Safe Labs: A new company to scale self-custody and launch the next standard for onchain treasury management.

Safe Labs is a fully-owned subsidiary of the Safe Ecosystem Foundation – focused on building user-facing products and driving adoption of Safe Smart Accounts… pic.twitter.com/A8q1ax0DZy

— Safe.eth (@safe) June 5, 2025

Also Read: SUI-VARA Sign Partnership

Keeping Up with the Rising Demand of OnChain

Safe and its subsidiary Safe Labs is doubling down at the ongoing trend of increasing number of enterprises or businesses moving onchain.

As decentralized finance (DeFi) has evolved, institutions are increasingly seeking on-chain self-custody solutions that satisfy regulatory requirements without leaving control over private keys. These ranges from fintech firms to traditional asset managers such as BlackRock and Franklin Templeton.

Safee co-founder Schor Lukas called this as “the goal [of Safe Labs] to connect Tradfi to the onchain economy.”

The decision to spin off Safe Labs also comes after a period of rapid growth for Safe as a protocol. CEO Rahul reported that in Q1 2025 alone, Safe processed over $1 trillion in total volume and accounted for nearly 2 % of all Ethereum transactions. Among these, over $10 billion in monthly transaction volume originated from Layer 2 integrations on Base and Arbitrum.

Further, its Multisignature wallets and Smart Contract based wallets have already been adopted by many insitutions such as WLFI, Cobo. However, during the Bybit attack, it faced severe accusations of its multisig tech causing $1.4 billion hack in February 2025. After it, Safe did introduce certain updates and tighten the security and custody of client’s assets.

Thus, Safe Labs’ creationa and the products can benefit its business clients with a cohesive, opinionated platform and can boost the onchain volume too.

Also Read: Binance CZ-Inspired Dark Pool DEX Launches

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About Author

With over four years of experience in covering and tracking the financial markets, Sneha Agrawal is a dedicated Crypto Journalist and Editor with passion for researching and writing the crypto pieces. She is currently leading the Brandtalk section, here at CoinGape. She likes to keep track of political, legal and financial happenings all around the world - without which she deems her day incomplete. Apart from her Journalistic endeavours, she is a solo traveler, museum goer, and a keen reader of books.