The Abu Dhabi-based branch of Brevan Howard Digital, the crypto arm from the global investment management company, has added $ 20 million to Kinto, a blockchain platform designed for institutional participation in decentralized funding (DEFI).
The deposit makes Brevan Howard Digital one of the first traditional financial companies to use Kinto’s on-chain mining, the protocol said.
Kinto acts as an Ethereum-layer-2 network with built-in compliance mechanisms, including know-your-customs (KYC) and anti-money-white lagging (AML) protocols, which facilitates financial institutions facing strict regulatory requirements for participate in decentralized funding. It also offers a smart contract wallet with standard insurance and security improvements.
Read more: Blockchain Startup Kinto Plans ‘First Kyc’d’ Ethereum Layer-2 network after collecting $ 5M
The platform’s mining program, which will run for a decade, incenters participants by distributing token rewards to deposit assets on the chain at Kinto. Mining has been a staple in the defi sector, but has been largely out of reach for traditional financial institutions due to compliance.
Brevan Howard Digital’s participation signals signal the growing interest of older financial companies in blockchain-based financing, especially since platforms such as Kinto adapt to meeting institutional needs, Ramon Recuero, according to Kinto’s co-founder and CEO. “Institutions have been waiting for two things: Legislative clarity and compliance functions. Now, through Kinto, financial institutions don’t have to wait any longer, ”he said in a statement.
