Digital Asset Service Provider

Definition ∞ A Digital Asset Service Provider (DASP) is an entity that offers services related to digital assets, such as cryptocurrencies or tokens. These services typically include exchange platforms, custodial solutions, transfer services, and initial coin offering (ICO) facilitation. DASPs act as intermediaries, enabling individuals and institutions to interact with the digital asset ecosystem. They play a crucial role in the accessibility and functionality of the crypto market.
Context ∞ The discussion surrounding Digital Asset Service Providers frequently addresses the need for robust regulatory oversight and consumer protection. A key debate involves establishing clear licensing requirements and compliance standards across different jurisdictions. Future developments include the implementation of more standardized global regulations, enhanced security protocols for custodial services, and the expansion of services to include a wider array of tokenized financial products.