It’s no more news that KPMG: one of the globally acclaimed accounting firms, has formally recognized cryptocurrency (bitcoin) in its balance sheet. Their idea to buy Ethereum and bitcoin was motivated by the recent performance of both coins in the market. The cryptocurrency industry was shaken about this news, and the media on their side didn’t relent in hyping the whole development.
The firm had added the bitcoin cryptocurrency assets to its treasury. As this news continues to thrill the business world, the investment amount is still yet to be disclosed. Well, the relevance of this news cannot be over-emphasized, so it won’t be out of place if stakeholders in the industry decide to give it the much-acclaimed publicity it deserves.
The initiative is in line with the company’s effort to offset carbon and retain a zero-carbon transaction while maintaining a sustainable and environmentally friendly workspace, governance, and society. Also, according to the company, their action was made possible with the help of Gemini Trust Company LLC, which was in charge of the custody and execution.
The company didn’t just wake up in the morning and decide to buy Ethereum; the decision was followed by long consultation that had the industry stakeholders in participation. These people were invited from different business sectors: Audit, Tax, Advisory, Risk Management, and Finance. They were all contracted to provide modalities that will facilitate the safe integration of this new development.
For this Canadian-based firm, this is the first of its kind and goes a long way to renew its efforts to become a major player in emerging tech like cryptocurrency and blockchain technology. From the look of things, this move will go beyond the buy Ethereum system of investment; the company is likely to continue in this trend in time to come. This was proven in a statement made during the announcement: KPMG will also consider investments in other innovative technologically-driven areas.
This also means, in essence, that the company is seriously planning to become the lead tech investor shortly, and their interest in cryptocurrency and blockchain looks like a good place to start.
Not just that, KPMG has employed education to widen their strategy further and increase their ability to execute effectively. Already, they have taken to organizing education-related workshops that discuss NFTs, Decentralized Autonomous Organizations (DAOs), GameFi, and Metaverse.
A Brief History of KPMG LLC and Their Will to Buy Ethereum
KPMG LLC was registered under Ontario corporate law and operated as an independent member of the popular accounting company: KPMG International. Over the years, the company has always proved to be a legally separate entity and has been operating like that since its creation. Despite being affiliated with KPMG International, their intention to join the crypto market has been described by industry analysts as ‘audacious’ and expected.
By audacious, they are looking outside their industry to tap into the global trend. This is coming when no major accounting firm has found it needful to look into the crypto space. Even those that have made attempts are still in the consultation stage, trying to see how they can integrate crypto into their balance sheet – not even industry giants like EY, Deloitte, and PWC, which experts say are struggling to meet up with the trend.
Why the Firm Chose to Buy Ethereum and Bitcoin
The idea to buy Ethereum and Bitcoin is quite obvious: they are one of the best performing crypto assets in the world today. Today, Ethereum market capitalization has reached $344.06B. It will only be rational for any big investor like KPMG LLC, who is showing interest in cryptocurrency, making the initiative to buy Ethereum their priority. Again, this move, experts believe, will further motivate its counterparts in the accounting and finance industry to poll the same part. It might not necessarily mean they will buy Ethereum, but because the crypto space is fast gaining momentum, investing in an equivalent business is a way to go.
It’s also important for you to know that the news of KPMG LLC investing in the cryptocurrency industry wasn’t the only big news of the week. Tesla also recently invested in BTC, but the news of KPMG seems to be the most trending, probably because they are the first of their kind to do so. Indeed, this is a step in the right direction, and the crypto world is expecting other companies to reciprocate, considering the increasing popularity of crypto.