Cryptocurrency within professional services is becoming a big deal. Firms like Ernst & Young (EY), Deloitte and PwC are expressing more and more interest in crypto and blockchain technologies by the day which is actually quite a fascinating prospect. These companies are huge and on a global scale, operate internationally. Importantly, their client base tends to be large institutions, meaning there’s also the potential for a lot of money to flow into these new professional service crypto projects. Can you see where this is going yet?
According to reports out today, EY now have access to a new cryptocurrency software that will allow the firm to manage cryptocurrency investments. The software, named Crypto-Asset Accounting and Tax (CAAT) has been set up by a Silicon Valley startup and will enable EY to access a platform in which they will be able to help manage the investments of their clients.
According to The Week, Chirag Patel, a member of a US branch of EY has said:
“I look forward to all the opportunities in tax and accounting that this technology will afford our clients and professionals in such a dynamic and exciting market.”
Furthermore, Michael Meisler, a partner at EY has said:
“CAAT will allow us to help clients investing in crypto-assets, both in the fund space and beyond.”
By entering the cryptosphere in this way, EY have access to a great learning curve, one that will enable them to learn more about the industry and work out how they can improve the service they offer to their clients with regards to crypto and blockchain. Moreover, the clients of EY are sure to benefit from this too. If they didn’t already have an interest in cryptocurrency investment, EY’s acquisition of CAAT is sure to get them thinking.
Is this going to spur a wave of institutional investment? Not just yet, but when it becomes the norm for such firms to start to handle cryptocurrency, EY are going to see great benefits from this. For now in the short term, EY’s task is to finetune and learn CAAT, once this is sorted, the sky really is the limit.