Digital Asset Custody Market Growth: Key Players, Regulatory Changes, and Major Developments
Summary:
This article focuses on the rapidly growing segment of digital asset custody, highlighting the involvement of major companies like Taurus and Fireblocks. Key events such as the opening of Taurus's new office in Canada and Fireblocks' awaiting regulatory approval are discussed. Ripple anticipates the institutional crypto custody market to reach nearly $10 trillion by 2030. The article also details significant personnel changes in crypto companies like Coinbase and Grayscale, the launch of Prometheum's Ether custody service, and Binance.US's successful appeal against license suspension in Florida. Finally, it reaffirms Crypto Biz as a reliable weekly source for key business updates in the crypto and blockchain sector.
The realm of digital asset custody is rapidly expanding, notably following the introduction of spot Bitcoin exchange-traded funds (ETFs) in the US. The recently interested parties in securing assets for institutional investors feature Taurus and Fireblocks. In order to meet demand for asset custody and tokenization, Taurus declares its new Canadian branch. On the other hand, Fireblocks is awaiting the green light for a limited-purpose trust company to be overseen by the New York Department of Financial Services. Ripple projects that by 2030, the institutional crypto custody sector could swell to almost $10 trillion.
In related updates, Kendrick Meek has been selected to join the digital asset regulatory council of Coinbase. As a prior representative for Florida's 17th congressional district, Meek's induction is perceived as a move to modernize the regulatory structure for digital assets in the US.
Also in the weekly Crypto Biz roundup, Kraken refutes the claim that they will remove stablecoins from their list in Europe, Grayscale's CEO exits, Prometheum's Ether (ETH) custodial service, which regards ETH as a security, is featured, among other news.
Crypto exchange Kraken denied intentions to delist Tether (USDT) in Europe, refuting a recent report stating the opposite for legal compliance. Despite speculation, Mark Greenberg, Kraken's global head of asset growth and management, clarified that no plans are underway to delist at present. He affirmed the company's commitment to adhere to all legal demands, even those they contest.
Prometheum, a digital asset trading and custody company, has reportedly set up an Ether custody service that treats digital assets as securities. As revealed by a May 20th report, the service debuted to a handful of selected companies on May 17, with wider deployment set for June. Prometheum had drawn the attention of the crypto community when it declared plans to acknowledge Ether as a security with the inauguration of its custody services.
Michael Sonnenshein has resigned from his tenure as the CEO of Grayscale Investments, with Barry Silbert, founder and CEO of Digital Currency Group, making the official announcement on May 20. Sonnenshein's replacement will be ex-Goldman Sachs executive Peter Mintzberg, commencing August 15. Until then, Edward McGee, Grayscale's CFO, will take up the mantle of principal executive officer.
Binance.US has successfully appealed the ban on its financial-services business license in Florida. The state's First District Court of Appeal determined that the state Office of Financial Regulation had no legal base for the emergency ban and did not consider less drastic alternatives. This suspension emerged after Binance CEO Changpeng Zhao confessed to breaking US Anti-Money Laundering laws on November 21, 2023, and posed major monetary damage and tax obligations for more than 170,000 state account owners, by mandating the liquidation of digital assets amidst price volatility.
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Published At
5/25/2024 12:30:00 AM
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