ETH Custody

Definition ∞ ETH custody refers to the safekeeping and management of Ethereum (ETH) tokens on behalf of an individual or institution. This service involves securing private keys that control access to ETH holdings, protecting them from theft, loss, or unauthorized access. Custody solutions range from self-custody using hardware wallets to institutional-grade services offered by specialized custodians. Proper custody is crucial for preventing the irreversible loss of digital assets.
Context ∞ ETH custody is a central topic in cryptocurrency news, especially with the growing interest from institutional investors and the increasing value of Ethereum. Debates often surround the security models of various custody providers, the regulatory compliance requirements for institutional custodians, and the risks associated with different storage methods. The future will likely see further development in secure, regulated custody solutions to meet the demands of a maturing digital asset market.