Ben Strack

<div id="highlights-block_62991a364d51a" class="highlights">
 <ul>
 <li>CEO of exchange’s US business says investors are looking beyond the traditional financial ecosystem amid high inflation</li>
 <li>Bitstamp plans to allow users to stake other assets in the coming months</li>
 </ul>
 
</div>



Cryptocurrency exchange Bitstamp has introduced a staking offering for its US retail and institutional customers as investors seek out alternatives amid inflation and low yields.



Through the company’s Bitstamp Earn, users can participate in securing the Ethereum and Algorand networks and earn staking rewards of up to 5% annually. Bitstamp plans to roll out support for staking other assets in the coming months.



Customers can use the ether (ETH) or algorand (ALGO) they already own or buy new assets.&nbsp;



Bobby Zagotta, CEO of Bitstamp’s US business, said record-high inflation is causing a number of Americans to delay retirement, noting more people are starting to look beyond the traditional financial ecosystem. He cited a company survey that found 76% of retail investors are “excited” for crypto writ large to reach the mainstream.



“Staking offers customers a way to make their crypto work hard for them as they diversify and strengthen their portfolios,” Zagotta told Blockworks.&nbsp;



The <a href="https://cms.blockworks.co/80-of-institutions-bullish-on-cryptos-future-survey-finds/" target="_blank" rel="noreferrer noopener">survey</a> found 80% of institutional investors anticipate crypto overtaking traditional financial products within a decade. More than half of retail investors reported thinking that cryptocurrencies will overtake traditional currencies over the same span.&nbsp;



The launch comes ahead of Ethereum’s <a href="https://cms.blockworks.co/shadow-forks-and-testnets-the-ethereum-merge-approaches/" target="_blank" rel="noreferrer noopener">long-anticipated merge</a> from a proof-of-work blockchain to a proof-of-stake network.&nbsp;



The share of ETH in Bitstamp’s assets under management globally has risen 70% since January 2021, according to the company. The crypto exchange also reports a trend of more first-time crypto buyers in the US buying ether, compared to bitcoin.&nbsp;&nbsp;



Of Bitstamp’s users worldwide, the highest staking adoption is among clients between the ages of 45 and 50, who have staked more than 30% of their ETH.&nbsp;



Crypto exchanges have rolled out staking offerings in recent years, including Kraken, which acquired staking platform <a href="https://staked.us/" target="_blank" rel="noreferrer noopener">Staked</a> last December to expand its number of supported networks and enable a non-custodial alternative to the company’s existing custodial staking service.



The average staking yield increased 11% quarter over quarter to 15.4%, according to a report published by Staked in April. Annualized staking rewards hit an all-time high of nearly $15 billion during the first three months of 2022, Staked found, up 57% from the first quarter of 2021.



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Bitstamp Launches Staking Offering For US Customers

<div id="highlights-block_627eaa8f4a75f" class="highlights">
 <ul>
 <li>Blockchain platform Infinite Arcade hires Visa’s former senior director of global marketing</li>
 <li>Bitstamp promotes its Europe chief executive to global CEO</li>
 </ul>
 
</div>



Binance hired Joshua Eaton, a former deputy US attorney in the Northern District of California, as its deputy general counsel.



Before becoming an attorney at the Department of Justice, Eaton was a line prosecutor and senior staff advisor in the US Army. In both roles, he offered counsel on a range of complex operations, investigations, litigation and policies.&nbsp;



Eaton said he became interested in crypto while working at the US attorney’s office, where he realized the importance of preventing bad actors from abusing blockchain technology for personal gain.



He will now lead the largest crypto exchange’s legal affairs group, supporting global compliance, investigations and law enforcement coordination activities.&nbsp;



Binance also revealed its appointment of Jarek Jakubcek as the company’s head of intelligence and investigations for the Asia Pacific region.&nbsp;



Jakubcek previously worked for seven years as a cryptocurrency specialist in Europol Cybercrime Centre’s dark web team. Prior to Europol, he spent about five years at An Garda Siochana, Ireland’s National Police and Security Service.



At Binance, Jarek will work with law enforcement agencies to coordinate the takedown of malicious crypto actors.



The US affiliate of crypto exchange FTX hired Marissa MacDonald to be the chief compliance officer of FTX Trust Company — FTX.US&#8217;s New York division that’s pending regulatory approval.&nbsp;&nbsp;



FTX.US also disclosed it applied for a trust charter with the New York Department of Financial Services to operate in the state.



MacDonald most recently worked as chief compliance officer at Fidelity Digital Assets. She began her career at Ernst &amp; Young.



Metaplex Studios hired former Paxos interim chief marketing officer Julie Mossler as its chief marketing officer to expand the range of projects built on the <a href="https://www.metaplex.com/" target="_blank" rel="noreferrer noopener">Metaplex protocol</a>. 



In less than a year, the Metaplex protocol has been used to mint more than 11 million NFTs, which have generated $2.6 billion in sales, according to the organization.



Before working at crypto company Paxos, Mossler was head of global marketing and brand at Waze and also served as head of global communications at Groupon.



Crypto exchange Bitstamp appointed JB Graftieaux as its new global CEO after he joined the company in May 2021 as its Europe chief executive.



He succeeds Julian Sawyer, who decided to pursue other opportunities, the company said Monday.



Graftieaux previously held executive roles at eBay and PayPal. He was also Bitstamp’s chief compliance officer between 2014 and 2016, helping the company obtain regulatory licenses. &nbsp;



Asia-based digital asset financial services group HashKey Group appointed David Leahy as chief operating officer of the company’s exchange business and WK Chim as senior advisor to the board.



Leahy joins from JPMorgan in Hong Kong, where he was most recently a managing director and head of the Financial Sponsors Group for Asia. He previously worked in senior alternative investments roles at Credit Suisse.



Chim, who will focus on providing independent assessment and advice on the risk frameworks and policies across HashKey, currently serves as independent non-executive director of OCBC Wing Hang Bank and chairs the bank’s risk management committee.



Blockchain platform Infinite Arcade, which is focused on bringing the mobile games industry into the metaverse, appointed Andrew Dubatowka as a core contributor of product marketing.&nbsp;



Dubatowka previously spent four years as a senior director of global marketing at financial services giant Visa and has also worked in senior roles at IPG Mediabrands and AdColony. He has worked with brands and clients such as Intel, Johnson &amp; Johnson, Google, Pandora, Charles Schwab and Wells Fargo.



“The project is all about a firm belief in two things: the benefits that blockchain technology can bring to the games industry; and, through these benefits, that gaming will be the ramp that onboards hundreds of millions of people into web3,” Dubatowka said in a statement.



Canada-based virtual currency brokerage Secure Digital Markets (SDM) said this week Wall Street veteran Alan Mittleman joined the firm on May 2 as chief operating officer.



Mittleman most recently worked at NatWest Markets as its global head of USD fixed income trading. From 2011 to 2015, he was global head of USD rates trading for Société Générale. He held other roles at Bear Stearns, Credit Suisse First Boston and Price Waterhouse.



Zachary Friedman, SDM’s co-founder and former COO, is now the company’s chief strategy officer.



Crypto financial services company EQONEX hired Daniel Ling as chief financial officer and a member of its executive committee.



The move comes as Paul Ewing, the company’s previous CFO, was appointed as chief operating officer (COO) following former COO Andrew Eldon’s resignation to pursue other opportunities.



Ling had recently been appointed to EQONEX’s board of directors as part of the company’s strategic partnership with payments technology company Bifinity, where Ling was director of strategy.&nbsp;



Before Bifinity, he was CFO at Pujiang International Group and also previously worked at Bridgewater Associates, PricewaterhouseCoopers, the Singapore Exchange and ShoreVest Capital.

Latest in Crypto Hiring: Binance, FTX Make Key Additions

<div id="highlights-block_626742f71fddd" class="highlights">
 <ul>
 <li>Increased education leading to increased trust is a positive for crypto’s long-term potential, Bitstamp US CEO says</li>
 <li>Uncertainty over regulation remains the key barrier to crypto investing</li>
 </ul>
 
</div>



Eight out of 10 institutional investors believe that crypto will overtake traditional investment vehicles within a decade, a survey by crypto exchange Bitstamp found.



The company’s Crypto Pulse survey also discovered that 54% of retail investors believe that cryptocurrencies will overtake traditional currencies within 10 years.



“The survey results show that crypto is a long game and we need to be building for the next 50 to 100 million customers,” Bitstamp US CEO Bobby Zagotta told Blockworks. “The industry needs to enable the infrastructure that supports that next wave of investors.”



The survey reflects the opinions of roughly 28,000 respondents — about 5,000 institutional investment strategy decision-makers and 23,000 retail investors — across 23 countries.



It found that crypto is trusted less than property ownership, which is trusted by about 80% of retail investors and institutions. Shares and stocks are deemed trustworthy by about 69% and 77% of retail investors and institutions, respectively.



Still, 67% of retail respondents believe crypto is a trustworthy investment, while 70% of institutional investor respondents said they trust it. Of the latter group, 68% actively recommend crypto in investment strategies.



Decentralized finance (DeFi) investment vehicles, including stablecoins, non-fungible tokens (NFTs) and blockchain networks, have trust ratings of roughly 60% across retail and institutional investors.



“As people learn more about crypto, they tend to trust it more,” Zagotta said. “This is extremely positive when you think about crypto’s long-term potential.”



Individuals and institutions in emerging economies are more likely to trust crypto — with nearly 80% reporting they do, compared to 62% in more developed financial markets.



Regulation remains a barrier to crypto investing, according to respondents. Nearly half of retail investors and more than a third of institutional investors consider crypto to be unregulated.



President Biden <a href="https://cms.blockworks.co/bidens-crypto-executive-order-may-be-watershed-moment-despite-lack-of-specifics/" target="_blank" rel="noreferrer noopener">signed an executive order</a> last month tasking a swathe of government agencies to collaborate on studying responsible regulation of digital assets. 



Zagotta said that certain facets of crypto regulation should be non-negotiable, such as maintaining blockchains’ transparency, prioritizing privacy and remaining independent from third parties.



“Given the executive order and recent legislative activity, the topic is certainly hot in Washington,” he said. “We expect more regulation…in the coming months.”



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80% of Institutions Bullish on Crypto’s Future, Survey Finds

<div id="highlights-block_62347c36f4570" class="highlights">
 <ul>
 <li>A former Federal Reserve Bank of New York employee has joined a lending protocol</li>
 <li>Crypto-focused asset manager Arca went on a hiring spree</li>
 </ul>
 
</div>



The gaming and NFT arm of Ethereum scaling platform Polygon has announced a range of hires from some of the largest Web2 companies.&nbsp;



Polygon Studios hired Michael Blank and Young Ko as its chief operating officer and chief financial officer, respectively. Blank joins after working nearly two decades at game developer and publisher Electronic Arts, while Ko spent the past 9 years as the vice president of finance at Penske Media, which includes brands Rolling Stone and Billboard.



Urvit Goel, who most recently helped Amazon launch its cloud gaming business, joins Polygon Studios as vice president of gaming business development. Charnjit Bansi, who was director of product management at Mythical Games, will be vice president of game design.



Ben Watley is Polygon Studio’s new senior director of strategy for gaming, joining from Electronic Arts. He will work alongside Will Matteson, an ex-NASA software engineer and Riot Games strategist, who joins Polygon Studios as corporate strategy manager.&nbsp;&nbsp;&nbsp;



The new hires join Polygon Studio’s recently appointed CEO, Ryan Wyatt, who previously headed YouTube’s gaming vertical.



Crypto exchange Bitstamp USA has hired Rika Khurdayan as its chief legal officer, Silvia Lacayo as head of marketing and Michael Levi as head of product and strategy.



Khurdayan joins from New York-based blockchain law practice KSTechLaw, which she founded. Lacayo most recently worked as head of marketing for software company Viable and also held top marketing roles at ZipRecruiter, Chainalysis and Unilever.



Levi was a managing director for nearly a decade at Level One Consulting Group, a firm focused on marketing, sales and business development strategy. He was also recently chief marketing officer for blockchain company Kava Labs, according to his LinkedIn page.&nbsp;



Crypto-focused asset manager Arca named Deborah Djeu its chief compliance officer and deputy general counsel to oversee the firm’s registered and private funds. She joins from crypto exchange Okcoin, where she was head of regulatory and chief compliance officer.



Scott Helfman, who was most recently director of public affairs at Citi, is Arca’s new head of communications. Before his decade-long tenure at Citi, he served in several communications roles at Deutsche Bank.&nbsp;



Annelise Osborne, who is now head of institutional for Arca’s innovation arm, Arca Labs, rounds out the company’s new additions. She had worked in the digital asset space as the chief operating officer of Propellr and spent 12 years at Moody&#8217;s Investor Service running commercial real estate teams within the structured finance group. 



CoinDesk named Alan Campbell as president of data and indices. The company’s flagship product, the CoinDesk Bitcoin Price Index (XBX), has been in operation since 2014.



Campbell was previously head of product management at Bloomberg Indices and also formerly managed Bloomberg Terminal functions and special projects for the company’s CEO.



Brandon Neal, who worked at the Federal Reserve Bank of New York for nearly a decade, has joined Euler Finance. He now serves as the lending protocol’s chief operating officer.



Neal was most recently a Treasury auction directorate at the bank and previously handled governance and strategic planning.&nbsp;&nbsp;&nbsp;



In addition to the new hires this week, blockchain infrastructure company announced that it is looking to hire more than 600 new employees following its latest <a href="https://cms.blockworks.co/consensys-plans-to-redesign-metamask-and-hire-600-new-employees/" target="_blank" rel="noreferrer noopener">$450 million fundraising round</a>.



Job postings with titles containing terms such as Bitcoin, Ethereum, blockchain and cryptocurrency grew 395% in the US from 2020 to 2021, according to <a href="https://www.linkedin.com/posts/linkedin-news_theworkshift-economy-labormarket-activity-6887062336839016450-67iT/" target="_blank" rel="noreferrer noopener">a LinkedIn analysis</a>. This outpaced the broader tech industry, which saw a 98% increase in listings during the same time period.



A Blockworks search on Thursday of US LinkedIn-listed jobs featuring the keyword “crypto” yielded 16,862 results.



<hr class="wp-block-separator"/>



Did you know that Blockworks is hiring too? Check out our available roles on our <a href="https://cms.blockworks.co/careers/" target="_blank" rel="noreferrer noopener">Careers page</a>!



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The Latest in Crypto Hiring: Polygon Studios Adds Range of Talent

Jacquelyn Melinek

<div id="highlights-block_612e8f6d2451c" class="highlights">
 <ul>
 <li>“It’s a cyclical business, but it will continue to grow. Each wave creates more interest and adoption,” Zagotta said </li>
 <li>“A week in crypto is like a year in traditional finance because of the rate of innovation,” he said</li>
 </ul>
 
</div>



The cryptocurrency industry has been around about 12 years, since bitcoin’s inception in 2009, but it is still in its early stages for global adoption, Robert “Bobby” Zagotta, the CEO of Bitstamp USA said in an interview with Blockworks.



“About 10 years ago, crypto was literally a cypherpunk outlaw, a ‘below the surface’ community and concept that was viewed with skepticism. Now, major financial institutions are offering it or in the process of offering it so it’s absolutely amazing how the acceptance curve has changed,” he said.&nbsp;



Bitstamp, the longest-running cryptocurrency <a href="https://www.bitstamp.net/" target="_blank" rel="noreferrer noopener">exchange</a>, hit its 10-year anniversary last week. In Q1 of this year, the company’s trading volume increased by 512%, compared to the same quarter-period of last year, it said. Additionally, customer growth is up 197% in the last year, Bitstamp said.&nbsp;



The company <a href="https://cms.blockworks.co/bitstamp-is-giving-crypto-wings-with-us-expansion/" target="_blank" rel="noreferrer noopener">doubled down on its US efforts</a> earlier this year after seeing a three-digit percentage increase in user uptick and interest as retail investors dip their feet in the bull market and digital assets make their way to the balance sheet of many ordinary folk, Blockworks previously reported.&nbsp;



Since opening in the US, Bitstamp has seen 666% growth in institutional investors and 1,934% growth in retail investors, it said.



<h3>The 2021 wave&nbsp;</h3>



As the market is seeing growth and adoption by institutional investors and major financial players, Zagotta said he still expects there to be continued waves of growth and decline. “It’s a cyclical business, but it will continue to grow. Each wave creates more interest and adoption,” Zagotta said.&nbsp;



The market is currently in it’s “2021 wave,” where hedge funds, banks, brokers and traditional trading companies are investing heavily so they can offer it to their customer bases, Zagotta said. “A week in crypto is like a year in traditional finance because of the rate of innovation,” he said.&nbsp;



With that said, there are some players in the crypto ecosystem who have a “burn it to the ground mentality about traditional financial services,” however Zagotta said he and Bitstamp as a whole believe it’s important to bridge between crypto and traditional financial services.&nbsp;



“I don&#8217;t want to battle traditional financial institutions. I want to help them and help them help us bring this concept to the world,” he said.&nbsp;



From a Bitstamp perspective, cryptocurrencies are an incredibly powerful development that should be available to everyone in the world, Zagotta said.&nbsp;



“It could mean life or death or wealth or lack of wealth,” he said. “We think it’s incredibly powerful and incredibly important and in order for (growth) to happen, well-respected reliable institutions have to participate in a smart way,” he added.&nbsp;



In the near future, the crypto industry will also need to look at regulation and work with it, rather than work around it, Zagotta said.&nbsp;



“If you&#8217;re really interested in adoption of this concept globally you have to work with regulators and help them make smart choices because that’s a necessary condition for widespread adoption,” he said.



Want more investor-focused content on digital assets?&nbsp;<a target="_blank" href="https://cms.blockworks.co/events/digital-asset-summit-2021-2/" rel="noreferrer noopener">Join us</a>&nbsp;September 13th and 14th for the Digital Asset Summit (DAS) in NYC. Use code ARTICLE for $75 off your ticket.&nbsp;<a target="_blank" href="https://cms.blockworks.co/events/digital-asset-summit-2021-2/" rel="noreferrer noopener">Buy it now</a>.