Digital Asset Service Providers

Definition ∞ Digital Asset Service Providers are entities that offer services related to digital assets, such as exchanges, custodians, wallet providers, and decentralized finance platforms. These providers facilitate the creation, storage, trading, and management of cryptocurrencies and other blockchain-based assets. They form the operational backbone of the digital asset economy. Their activities are increasingly subject to regulatory oversight.
Context ∞ A key discussion surrounding Digital Asset Service Providers concerns the scope of regulatory oversight and the implementation of anti-money laundering and know-your-customer compliance. Critical future developments include harmonized international regulations and the evolution of licensing frameworks for these diverse entities. This provides essential context for news about regulatory enforcement actions, industry consolidation, and the expansion of compliant digital asset offerings.