KPMG Canada Adds Bitcoin, Ethereum to Balance Sheet
Partners in the firm stated that institutional adoption for crypto assets will likely increase over time.
- KPMG Canada has invested in Bitcoin and Ethereum.
- The firm cited its commitment to innovative technologies and asset classes.
- The accounting firm did, however, take measures to offset the carbon footprint of the Bitcoin and Ethereum transaction.
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KPMG Canada has added Bitcoin and Ethereum to its corporate treasury. This is the first time the firm has invested directly in cryptocurrencies.
KPMG Canada Wades Into Crypto
KPMG Canada, a member company of KPMG International, Ltd., has bought both Bitcoin and Ethereum.
KPMG Canada, one of the nation’s largest employers, has added the two largest cryptocurrencies to its balance sheet. The firm cited its commitment to emerging technologies and asset classes as reasons for its allocation.
As part of KPMG Canada’s environmental, social, and governance (ESG) commitments, the audit, tax, and advisory firm emphasized that its investments included “carbon offsets” in an effort to achieve net-zero carbon transactions. In fact, a governance committee for the cryptocurrency allocation was established to these ends, where “rigorous risk assessment” processes were carried out to review possible regulatory or reputational risks. Tax and accounting implications were also considered.
In addition to its Bitcoin and Ethereum allocations, the firm has further plans related to digital assets and technologies. According to Kareem Sadek, Advisory Partner and co-leader of Cryptoassets and Blockchain Services:
“We’ve invested in a strong cryptoassets practice and we will continue to enhance and build on our capabilities across Decentralized Finance (DeFi), Non-Fungible Tokens (NFTs), and the Metaverse, to name a few. We expect to see a lot of growth in these areas in the years to come.”
Echoing this pro-growth sentiment for the crypto space, Canadian Managing Partner, Advisory Services, Benjie Thomas, expressed that the firm’s allocation to Bitcoin and Ethereum was a reflection of the firm’s “belief that institutional adoption of cryptoassets and blockchain technology will continue to grow and become a regular part of the asset mix.”
Disclosure: At the time of writing, the author of this piece owned BTC, ETH, and several other cryptocurrencies.