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The boutique investment bank Cowen Inc. is shuttering a digital-asset unit that was launched to offer institutional clients access to cryptocurrency trading.
“Today will be the last day for the team here at Cowen Digital,” according to an email seen by Bloomberg News, which was addressed to clients, friends and colleagues. The note listed at least 10 employees and an intern as part of the group’s team. A Cowen spokesperson declined to comment.
TD Bank Group, one of the largest banks in North America, said in March that it had completed its acquisition of Cowen, a financial services firm that provides investment banking, research, and sales and trading, among other things.
Bloomberg reported in March of last year that Cowen had started a digital-asset unit. The goal was to allow clients to trade 16 cryptocurrencies, including Bitcoin, Ether and Solana.
The crypto sector, following last year’s steep selloff in prices for major tokens and the implosion of a number of previously high-flying companies, has seen a culling of workforces. In February, just a few weeks into the start of 2023, the job cuts had already run into the thousands, according to a tally kept by Bloomberg at the time.
“Our entire team believes strongly in the need for trusted counterparties who understand the needs of institutional investors – through white-glove high and low touch execution, deep knowledge-driven content, corporate access and group educational events. We will continue to try and fulfill that endeavor, but will have to do so in a different home,” the email said.
--With assistance from Yueqi Yang.