The US Marshals Service (USMS), a division of the US Department of Justice (DOJ), has selected Coinbase Prime to safeguard and trade its large-cap digital assets portfolio, as announced in a press release on July 1.
Following a thorough competitive due diligence process, Coinbase Prime was chosen to manage the agency’s “Class 1” digital assets. The USMS stressed the importance of handling these assets in a professional, lawful, and policy-compliant manner.
The decision to partner with Coinbase was based on the company’s strong track record and ability to offer institutional-grade crypto services at scale. The contract, issued on behalf of the Asset Forfeiture Division (AFD), will ensure the secure storage and liquidation of seized digital assets in accordance with DOJ and USMS policies.
This collaboration aims to streamline the custody, management, and disposal processes for cryptocurrencies, while also expanding the range of digital assets managed under the government’s forfeiture programs.
The contract is structured as a single-award Indefinite Delivery/Indefinite Quantity (IDIQ) agreement with an initial ordering period of five years, with the option for a six-month extension.
Coinbase has a history of supporting law enforcement agencies since the establishment of its law enforcement program in 2014. The company works with major US federal, state, and local law enforcement agencies, as well as international agencies.
With Coinbase Prime’s role as the primary partner for numerous spot crypto ETFs and its management of $330 billion in assets as of March 31, the exchange’s significant role in the digital asset market is evident. In the first quarter of 2024, Coinbase reported $256 billion in institutional trading volume.
This partnership with the USMS is another step in Coinbase’s efforts to enhance the security and efficiency of digital asset management for institutional clients.
