Thanks to the blockchain and a widening net of crypto adopters, banks, financial institutions, and crypto foundations have a perfect opportunity to expand both their portfolio of services and the revenue inflows. Crypto had a breakthrough year in 2021, and figures point toward an even greater interest in crypto and DeFi in the coming years. Banks can capitalize on that by offering their clients crypto services, and with the GK8’s platform for self-managed digital asset management, they will be able to bolster their own bottom line through a variety of new revenue-generation financial tools.
With GK8’s institutional-grade solution, you can access decentralized finance (DeFi) services, from yield farms that allow any investor to earn yields on their tokens to lending protocols, sophisticated on-chain financial instruments, and more. They can also act as liquidity providers for centralized and decentralized exchanges alike and offer credit services to crypto-native companies.
Thanks to GK8’s expanded support for MetaMask Institutional, a rendition of the popular hot wallet aimed specifically at banks and other financial bodies, institutions can enjoy the versatility of the solution and the security of the GK8 platform at the same time. With MetaMask, they can tap hundreds of DeFi services from their GK8 multi-party computation wallet, enabling them to make the most out of the digital assets at hand.
GK8’s platform enables institutions to take part in Proof-of-Stake mining, which sees them lock a part of their digital assets into the network to compete for adding a new block to the blockchain and the associated reward. Thanks to its unique Cold Staking feature, the assets staked this way do not even have to leave the Cold Vault, staying outside the reach of any malicious actors. While banks can simply store their clients’ digital assets using the platform, staking puts these assets to work.
For banks, staking is a great opportunity to make use of the assets in their custody instead of simply keeping them on hold which brings in a considerable APY alongside the benefit of holding the asset itself as it moves up. With GK8’s platform, the user has an unlimited amount of versatility to utilize the staking protocols they want thanks to its general smart contract support and ability to integrate with any layer-1 blockchain compatible with the Ethereum Virtual Machine.
GK8 grants clients the potential to further bridge the gap between traditional assets on the one hand and digital assets and DeFi on the other via tokenization. As the blockchain has evolved beyond just crypto, institutions can tokenize commodities, securities, and other traditional assets to expand their revenue streams.
Utilizing GK8’s Tokenization Platform, banks can offer clients the ability to convert traditional assets into tokens or create utility tokens that can be used to pay for specific products or services. The Tokenization Platform brings banks the flexibility they need to run such services, allowing them to mint, burn, distribute, and manage tokens on a global platform. GK8’s infrastructure is purpose-built to easily generate customized security and utility tokens and even work with state-issued tokens as well.
NFTs have exploded into a market worth billions in 2021, and banks can keep up with the latest trends by offering clients custody over their non-fungible tokens. Banks can mint NFTs from their GK8 platform thanks to its general smart contract support, including directly into their wallets. Besides adding to the bank’s total for assets under management, NFTs can be staked into DeFi services or leased out temporarily, working as another additional revenue stream for the bank.
Beneath all the innovative revenue-generating features that GK8 offers, the heartbeat of the platform is crypto custody and enterprise-grade secure management. Custody is the service at the core of any strategy for digital asset services, the foundation for all other building blocks, and GK8’s self-managed custody solution is the foundation banks need to build any business logic upon. Thanks to GK8’s general support for any Ethereum Virtual Machine-compatible layer-1 chains as well as layer-2 protocols, its users can easily scale their services up, offering them on a wide variety of networks and integrating hundreds of coins and tokens.
Banks are already seasoned custodians for traditional finances and assets, and GK8 allows a seamless transition that eliminates the steep learning curve of exploring crypto, NFTs, and DeFi. There is no better way for banks to enter the blockchain ecosystem than through a platform putting security first and prioritizing ease of access to digital asset management. Financial institutions looking to be at the forefront of crypto integration are aware that investors don’t want their assets to sit idle. Besides protecting digital assets at the highest level of security, banks have the unprecedented flexibility to leverage these assets and become revenue-generating juggernauts on the blockchain. More information on the GK8 solutions and the new revenue streams they enable can be found here.