Blockchain Firm Brevan Howard Digital Deploys $20 Million on Kinto, a Blockchain Platform for Institutional Participation in DeFi

The Abu Dhabi-based branch of Brevan Howard Digital, the crypto arm of the global investment management firm, has deployed $20 million on Kinto, a blockchain platform designed for institutional participation in decentralized finance (DeFi).

Kinto’s On-Chain Mining Program

Kinto operates as an Ethereum layer-2 network with built-in compliance mechanisms, including Know-Your-Customer (KYC) and Anti-Money Laundering (AML) protocols, facilitating financial institutions that face strict regulatory requirements to participate in decentralized finance. It also offers a smart contract wallet with default insurance and security enhancements.

Partnership Between Brevan Howard Digital and Kinto

The platform’s mining program, set to run for a decade, incentivizes participants by distributing token rewards for depositing assets on-chain on Kinto. Mining programs have been a staple in the DeFi sector but have largely been out of reach for traditional financial institutions due to compliance hurdles.

Brevan Howard Digital’s participation signals growing interest from legacy financial firms in blockchain-based finance, particularly as platforms like Kinto adapt to meet institutional needs, according to Ramon Recuero, Kinto’s co-founder and CEO.

“Institutions have been waiting for two things: regulatory clarity and compliance features. Now, through Kinto, financial institutions don’t need to wait any longer,” Recuero said in a statement.

Conclusion

The partnership between Brevan Howard Digital and Kinto marks a significant milestone in the development of decentralized finance and the increasing adoption of blockchain technology by traditional financial institutions. As Kinto’s on-chain mining program continues to grow, it is likely to attract more institutional investors, further driving the growth of the DeFi sector.

FAQs

• What is Kinto? Kinto is a blockchain platform designed for institutional participation in decentralized finance (DeFi). It operates as an Ethereum layer-2 network with built-in compliance mechanisms.
• What is the purpose of Kinto’s on-chain mining program? The program incentivizes participants by distributing token rewards for depositing assets on-chain on Kinto, making it more accessible to traditional financial institutions.
• What is the significance of Brevan Howard Digital’s partnership with Kinto? The partnership signals growing interest from legacy financial firms in blockchain-based finance and marks a significant milestone in the development of decentralized finance.
• What is the future of DeFi with Kinto? As Kinto’s on-chain mining program continues to grow, it is likely to attract more institutional investors, further driving the growth of the DeFi sector.