GRC Framework

Definition ∞ A GRC framework, standing for Governance, Risk, and Compliance, is a system of integrated processes and technologies enabling an organization to achieve its objectives. It assists businesses in operating ethically, managing risks effectively, and adhering to legal and regulatory requirements. For digital asset firms, this involves establishing robust internal controls and oversight mechanisms to meet industry standards.
Context ∞ Implementing a comprehensive GRC framework is increasingly vital for digital asset companies seeking to establish trust and operate within defined regulatory boundaries. The decentralized and global attributes of crypto present unique challenges for traditional GRC models, necessitating adaptations for digital asset custody, anti-money laundering, and cybersecurity. Regulators often scrutinize the adequacy of GRC structures within virtual asset service providers.