KPMG has recently launched its own crypto asset management tools called Chain Fusion with a myriad of features that would allow financial start-ups and economic firms to provide their crypto-asset services. The new product launched for its institutional clients will allow its customers to manage their data in accordance with all the necessary regulations surrounding security, processing, and reporting. The customers will be able to collect and organize data from blockchain databases and traditional systems properly. The company has been working designing of the suite of tools for over a year, and the building of the tool began since February 2020.
KPMG has been following the cryptocurrency industry for a long time. Its growing usage has caused the global regulators to take attention of it. Companies that offered traditional financial businesses are also integrating cryptocurrency into their system, but most do not have the technology to do it properly. A study conducted by their internal teams has estimated that hackers have stolen about $9.8 billion in cryptocurrencies since the year 2017. Thus, there is a need for greater security and rules for the use and storing of cryptocurrencies where they would follow transaction rules set in place by their governments.
Financial institutions and crypto companies have faced one common problem, and that is to build infrastructure for their blockchain-based systems, which is different than what the traditional systems might need. Another issue that they might face is a way to connect the traditional systems to the blockchain-based system. It is where the new Crypto Asset Management Tool by KPMG can come to the rescue. It allows its users to create a data model for all the different transactions performed by the organization irrespective of whether they are traditional or the blockchain ones. The company will be able to run advanced analytics on the data collected.
KPMG’s new tool will help address a number of the challenges that its users face. For example, the tool will ensure that blockchain data matches that of what is being recorded in the entities’ book. Another way will be able to find information from databases, including that of blockchain, while still running the queries they need to. The company has incorporated a number of different technologies that would suit a varied style of clients. KPMG Chain Fusion will help bring all the different systems together and streamline the processes and offer better control. The company has not yet confirmed how many of its customers have started to use Chain Fusion already, but it did confirm that it was in talks about multiple clients on the use of the particular tool.
KPMG might have taken a bit of risk getting in the crypto-asset management, but its reputation and brand name will surely help it build its client base slowly but steadily. There are already other fintech companies in the business offering similar kinds of services; it is to be seen how KPMG differentiates itself based on its product features and the service they offer to their clients. What could work in their favor is that they already have clients in the industry around the globe, and it is all about convincing them to adapt to the changing times. The suite of advanced analytics will help streamline and enhance the ability of financial institutions and fintech companies. It would help companies make a smooth transition of adopting the crypto-business capabilities. Since a number of traditional businesses have also started to offer crypto services, the tool will come handy in building their abilities efficiently and effectively into their existing traditional data infrastructure.
KPMG is an international network of independent firms offering financial services including accounting, tax, audit, assurance services, and financial advisory. KPMG is the third-largest accounting firm in the world with it’s headquarter in the Netherlands. The company has a presence in over 820 locations around the world in 147 countries. KPMG serves a varied types of clients, including businesses, governments, NGOs, public-sector agencies, and more. The company has won several awards for its exceptional work. In 2015, the company was included in the list of top 100 companies to work on by Fortune. In 2016, Consulting Magazine ranked the company at the 13th number as one of the best firms to work.