Definition ∞ This refers to the secure storage and management of private keys associated with digital assets on behalf of an individual or institution. It involves safeguarding these cryptographic keys, which control access to and ownership of cryptocurrencies and other tokenized holdings. Effective custody solutions are vital for preventing theft and unauthorized access.
Context ∞ The challenge of digital assets custody remains a central point of discussion, particularly for institutional investors requiring robust security and regulatory compliance. The development of advanced cold storage, multi-signature wallets, and regulated custodial services is a key area of innovation and industry focus.