What is Digital Asset Custodian?
Let's find out Digital Asset Custodian meaning, definition in crypto, what is Digital Asset Custodian, and all other detailed facts.
A digital asset custodian is an individual that is obligated to control assets of value for an investor or client. In this particular scenario, the custodian is accountable for managing digital assets like Bitcoin and Ethereum.
In addition, custody of digital assets needs to have good security and internal managing functions to make sure that the customer’s assets are kept securely.
Different from traditional assets, digital ones are a bit more uncertain. For instance, an individual will no longer be able to access the assets if he loses his private key. It shows that there is a major risk in the long term.
In this sense, businesses typically choose a third-party custodian to control and keep their digital assets. To guarantee that safety and security procedures are up to par, these custodians must get a license from regulators within their area.