[Arkham transfers $487 million in ARKM to Coinbase Prime to ensure tax compliance]
In order to comply with regulatory and tax requirements, Arkham transferred 304.5 million ARKM worth approximately $487.24 million from the vesting contract to Coinbase Prime custody.
The deal includes 115.8 million ARKM tokens owned by Arkham CEO Miguel Morel, worth $185.28 million, according to platform data.
Arkham clarified via the X social platform on July 17 that the team’s tokens must be transferred to Coinbase Prime to ensure tax payments and regulatory compliance starting July 18.
This transfer means that the specific unlocking and transfer status of these tokens will no longer be visible on the blockchain, enhancing asset security and regulatory monitoring.
This transfer marks the beginning of a linear unlocking cycle for teams, investors, and advisors, which begins on July 17. The current daily unlock volume for these groups is approximately 324,200 ARKM, worth $518,000. This process is part of a three-year unlocking plan that has not changed due to recent developments.
The move to Coinbase Prime is a strategic step for Arkham and is consistent with the company’s commitment to regulatory compliance and security measures. By using Coinbase Prime’s custody services, Arkham ensures these tokens are managed under strict security protocols, providing peace of mind to investors and stakeholders.
In the same year that Satoshi Nakamoto published his Bitcoin white paper, the U.S. Congress enacted legislation that strengthened the tax filing obligations of financial intermediaries. The new law requires financial institutions to provide detailed tax filing information to taxpayers and the Internal Revenue Service.
Under this regulation, companies must calculate taxes based on the “cost basis,” which is the difference between the asset’s original purchase price and the proceeds from the sale, similar to current cryptocurrency capital gains tax rules.
Law enforcement agencies also use Coinbase's services to securely store or process confiscated cryptocurrency in connection with criminal investigations. The U.S. Marshals Service has entrusted Coinbase Prime with assets related to the defunct FTX cryptocurrency exchange and the infamous Silk Road platform, with the company securing a contract worth more than $32 million, according to official documents.
