Coinbase Custody, the crypto custodial solution offered past United states of america exchange giant Coinbase, has been chosen by Deutsche Telekom to store its Celo tokens.

According to a release issued on Mon, the telecoms behemothic identified the robust security protocols offered past Coinbase Custody as a major reason for choosing the service.

Deutsche Telekom invested in Celo back in Apr, becoming the first telecom fellow member of the Celo Brotherhood for Prosperity. Autonomously from making a "significant purchase" of Celo tokens, Deutsche Telekom's T-Systems MMS subsidiary also became a validator on the mobile decentralized finance Celo network.

As previously reported by Cointelegraph, U.s.a.-based venture upper-case letter behemoth Andreessen Horowitz, aka a16z, delegated its Celo assets to T-Systems MMS. At the time, Katie Haun, general partner at a16z, stated that both companies had like visions about the ability of the Celo project to disrupt the global payment sector.

Deutsche Telekom's selection of Coinbase Custody comes after the latter secured approval from Germany'due south Federal Financial Supervisory Authority back in June. Indeed, Coinbase became the showtime crypto exchange to be granted such a license in the country following the news.

Related: Cryptocurrency custody gives commercial banks a foothold in the marketplace

Custody has always been a focal bespeak of the discussion surrounding broad-based institutional adoption of crypto. Legal requirements in many jurisdictions often mandate regulated entities to store assets with recognized custodians.

Banks and other financial institutions are increasingly making their first forays into the crypto infinite by leveraging their standing with regulators to offer cryptocurrency. This tendency is in addition to the custodial services offered by regulated exchanges such as Coinbase and Gemini.

Fintechs and tech companies, in full general, are also making forays into the crypto custody space. Back in June, Twitter and Square CEO Jack Dorsey revealed that the latter was developing a Bitcoin (BTC) hardware wallet.

Indeed, given the maturing crypto custody space, attention has begun to shift to onboarding major institutional players such equally retirement funds and sovereign wealth management funds.