Abra buys Valkyrie’s Tron and Zilliqa trusts

Abra,
the
digital
assets
and
wealth
management
platform,
purchased
Tron
(TRX)
and
Zilliqa
(ZIL)
among
other
private
crypto
trusts
from
Valkyrie
Investments.

Bloomberg
reported
on
Friday
that
Abra
acquired
the
private
trusts
just
before
its
settlement
with
25
U.S.
state
regulators
over
charges
of
operating
without
required
licenses.

Abra
Capital
Management
LP,
a
US
Securities
and
Exchange
Commission
(SEC)-registered
investment
advisor,
undertook
this
initiative,
the
Abra
head
of
asset
management
Marissa
Kim
said.

Tron
and
Zilliqa
trusts

Specifically,
the
acquisitions
included
the
purchase
of
Valkyrie
trusts
for
Tron
and
Zilliqa
and
others
that
are
yet
to
launch.

Kim
notes
that
the
crypto
private
trusts
offer
Abra
Capital
Management
the
opportunity
to
expand
its
spot
and
decentralized
finance
(DeFi)
products
to
more
investors.
Abra
could
file
to
have
some
of
the
trusts
to
be
publicly-traded,
Kim
added,
saying
that
this
would
be
subject
to
market
demand.

With
crypto
trusts,
an
asset
manager
owns
digital
assets
on
the
investor’s
behalf.

The
shares
of
the
coins,
TRX
or
ZIL
in
this
case,
are
tradable
in
over-the-counter
(OTC)
markets.
However,
these
investment
assets
are
not
exchange-traded
funds
(ETFs)
and
are
only
open
to
accredited
investors,
institutions
or
high-net-worth
individuals.

US
state
regulator
settlement

The
latest
news
about
Abra
comes
weeks
after
the
company
settled
with
several
U.S.
state
regulators
after
charges
related
to
unregistered
operations
in
the
offering
of
crypto
assets.

This
settlement
happened
in
June
and
will
see
Abra
return
$82.1
million
in
cryptocurrencies
to
U.S.
customers.

Abra
also

settled
with
Texas
securities
regulators
in
January
2024,
which
allows
customers
to
withdraw
their
funds.

Crypto
services
via
Abra
Treasury

Abra
Capital
Management

announced
the
launch
of
Abra
Treasury
this
week,
with
crypto
services
targeted
at
corporates,
family
offices
and
non-profits.

These
customers
can
leverage
Abra
for
custody,
borrowing,
trading
and
yield,
with
services.
Accessible
via
separately
managed
accounts.
Investors
will
retain
the
title
and
ownership
of
their
digital
assets,
which
will
be
verifiable
on-chain.