PwC teams up with Cred to build trust in cryptocurrency ecosystem

PwC, one of the biggest accounting and professional services firms in the world, is teaming up with cryptocurrency startup Cred to develop standards that will build trust in the wild and woolly crypto ecosystem.

The goal is to put standards in place to support the next 10 million users of cryptocurrency assets. It’s another sign that blockchain and cryptocurrency have hit the big time. IBM recently said it had 1,500 people working on blockchain tech.

In July, Cred launched a mobile app that allows people to invest small amounts of money in cryptocurrencies. The iOS and Android app is aimed at solving problems around access and transparency associated with buying cryptocurrencies.

“We are excited to work with Cred to help increase industry awareness regarding how the asset-backed digital token ecosystem can be secured and scaled on behalf of participants along the digital asset value chain,” said Grainne McNamara, U.S. blockchain and cryptocurrency leader at PwC, in a statement. “We are eager to leverage our proven industry experience to support a quickly developing asset class and its associated market infrastructure components. We believe this exploration of the blockchain infrastructure and associated operational frameworks can help the industry develop an increased level of comfort.”

Many investors are looking for crypto assets that can be pegged to a stable fiat currency such as the U.S. dollar, but these assets require a reserve ledger built for decentralized assets that can provide 100 percent transparency and value substantiation, PwC said. That means it needs to be backed with real assets that people can trust.

PwC’s experience will provide valuable perspective on how standards can be enhanced to facilitate a more transparent set of reserve functions, stablecoins, and deposit and yield products. PwC will also provide valuable insights on governance, security, risk management, and controls to help shape the future of the ecosystem and associated industry practices.

“PwC’s commitment to the crypto community at large sends a very strong message to retail investors, mainstream financial services providers and the crypto enthusiasts that the world is moving toward decentralization, transparency and accountability in a system that will evolve beyond the need for trusted intermediaries,” said Dan Schatt, Cred president, in a statement. “This will help the ecosystem evaluate key considerations as standards are enhanced relative to the creation and management of stablecoins and universal digital assets that support mass adoption of crypto assets.”