A custodial services framework outlines the rules and structures for safeguarding digital assets on behalf of clients. This framework specifies the security protocols, operational procedures, and legal agreements governing the storage and management of cryptocurrencies by third-party custodians. It addresses issues such as private key management, cyber security measures, and client asset segregation. A robust framework is crucial for building trust and enabling institutional participation in the digital asset space.
Context
The development of clear custodial services frameworks remains a priority for regulators and financial institutions seeking to enter the digital asset market responsibly. News often covers new regulatory guidance or industry best practices that enhance the security and integrity of holding digital assets for others, particularly for institutional clients.
The SEC's SAB 121 rescission eliminates prohibitive balance sheet constraints, strategically clearing the path for institutional banking entry into digital asset custody.
We use cookies to personalize content and marketing, and to analyze our traffic. This helps us maintain the quality of our free resources. manage your preferences below.
Detailed Cookie Preferences
This helps support our free resources through personalized marketing efforts and promotions.
Analytics cookies help us understand how visitors interact with our website, improving user experience and website performance.
Personalization cookies enable us to customize the content and features of our site based on your interactions, offering a more tailored experience.
