Abra Launches Abra Treasury for Corporates

Abra, a leading digital asset prime services and wealth management platform, has introduced Abra Treasury, a tailored service designed for corporates seeking to incorporate crypto assets in their balance sheet as a reserve asset. This initiative was revealed in a recent press release by the company.

Comprehensive Treasury Management Solutions

The service will be managed by Abra Capital Management, an SEC-registered investment advisor, offering corporates, family offices, and non-profits a wide array of digital asset treasury management solutions. Abra Treasury integrates custody, trading, borrowing, and yield services, enabling clients to house their crypto in separately managed accounts, ensuring they maintain ownership and control over their digital assets.

Rising Interest in Bitcoin as a Reserve Asset

Given the current economic climate marked by increased inflationary pressures and geopolitical uncertainties, many corporate treasurers are exploring the inclusion of bitcoin (BTC) in their balance sheet as a reserve asset. Notably, MicroStrategy is a prominent example, holding a substantial amount of bitcoin, totaling 226,331 tokens.

Growing Adoption of Digital Assets

Marissa Kim, the head of asset management at Abra Capital Management, noted a rising trend of non-crypto-native businesses, particularly small to medium-sized enterprises (SMBs), expressing interest in utilizing bitcoin for treasury reserves or leveraging BTC for business financing, including real estate projects.

Regulatory Compliance and Settlement

In a recent development, Abra and its CEO William “Bill” Barhydt reached a settlement with 25 state financial regulators for operating its mobile application without the required licenses. As part of the agreement, Abra will refund up to $82.1 million in crypto to customers in the participating states, as announced by the Conference of State Bank Supervisors (CSBS).