Another major accounting firm has released its own digital asset management tool. KPMG recently rolled out “Chain Fusion,” its patent pending suite of digital asset management tools.
KPMG’s goal for Chain Fusion is for it to allow customers to accurately report their digital asset financial information, as well as facilitate customer account management, anti-money laundering (AML), and security for the client.
The release of KPMG’s Chain Fusion comes on the heels of big four accounting firm Ernst & Young’s release of a digital currency tax tool called EY CryptoPrep. KPMG’s Chain Fusion is aimed solely at institutional clients and aims to help them collect data from traditional systems as well as blockchain systems and then organize that data in one location.
Giving institutions the tools they need
There has been an uptick in institutional digital asset management tools, which could indicate an increase in institutional interest in digital assets like the Deloitte’s 2020 Global Blockchain Survey discovered. However, traditional financial institutions have legacy frameworks and regulations that their operations need to comply with. KPMG hopes that its Chain Fusion tool will help institutions that deal with digital assets comply with these legacy frameworks and regulations.
“Regulators and auditors expect fully implemented controls and processes within and across a cryptoasset business – whether they are cryptoasset or traditional systems or anything in between. If you are a blockchain or digital asset-based business, you will have separate systems for everything,” said Sam Wyner, director, and co-lead of the KPMG Cryptoasset Services team. “KPMG Chain Fusion addresses those challenges by bringing these systems together with the required processes and controls under one roof.”
KPMG is merging traditional financial systems and digital asset systems into one with Chain Fusion to allow institutions to comply with their regulators and auditors. The KPMG team says that in addition to compliance, their Chain Fusion suite of tools will allow its users to analyze data in a way that was not easy to accomplish before since traditional financial vehicles and digital asset products were typically kept separate from one another.
Will more institutions follow?
The Chain Fusion team declined to comment on how many user’s Chain Fusion currently has; however, the increase in digital asset-related resources being offered by traditional institutions indicates that there must be a demand for such offerings in the market.
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