U.S. Marshals Service Partners with Coinbase to Manage Large-Cap Digital Assets

The U.S. Marshals Service (USMS), an integral agency within the U.S. Department of Justice, has appointed Coinbase Prime to oversee and trade its “Class 1” (large cap) digital assets. This decision follows a thorough due diligence process aimed at evaluating various potential solutions. Ultimately, the USMS selected Coinbase Prime due to its proven ability to deliver secure, institutional-grade cryptocurrency services on a large scale.

The USMS, responsible for asset forfeiture, conducted a competitive evaluation to determine the best custodian and trading service provider for its substantial digital assets portfolio. Several factors influenced the selection process, including security, scalability, and track record. Coinbase Prime emerged as the preferred partner, offering robust security measures and an impressive history of collaboration with law enforcement agencies.

Coinbase has a long-standing relationship with law enforcement agencies, which was initiated with the establishment of its law enforcement program in 2014. This program underpins Coinbase’s partnerships with numerous federal, state, and local agencies across the United States, as well as international agencies. These collaborations are vital to ensuring safe and efficient markets within the growing cryptoeconomy.

Launched nearly three years ago, Coinbase Prime has rapidly become the go-to platform for institutions and large digital asset holders. As of March 31, 2024, Coinbase Prime safeguarded $330 billion in assets and recorded $256 billion in institutional trading volume in the first quarter of 2024. Additionally, Coinbase Prime serves as the primary partner for the majority of spot crypto ETFs, further solidifying its position in the industry.

By choosing Coinbase Prime, the USMS aims to leverage the platform’s advanced custody and trading services to manage its large-cap digital assets effectively. This partnership underscores Coinbase’s capability to support significant institutional clients and enhance the security and efficiency of digital asset management.