Home / Blockchain / The Blockchain Security Co. BitGo gets the green light from the dispenser to become Crypto Custodian

The Blockchain Security Co. BitGo gets the green light from the dispenser to become Crypto Custodian

The American cryptocurrency and the security company blockchain BitGo received a charter from the state company of the South Dakota Division of Banking, making it a qualified depositary for cryptography, reports by the CNBC on 13 September.

By creating its trust company, California-BitGo based will now be subject to regulatory control that includes know-your-customer (KYC) and anti-money laundering (AML) controls and the archiving of financial audits and monthly disclosures.

While launching its regulated cryptocurrency offer BitGo co-founder and CEO Mike Belshe told CNBC that:

"This is the missing piece for infrastructure: today it's a treacherous environment. they need, the family offices need it, they can not participate in the digital currency until they have a place to store it that is regulated. "

As previously reported, the narrative that custody is one of the main remaining obstacles for the market encrypted to "mature" and attract institutional investment is widely shared. CNBC interviewed Monica Sommerville of the consulting firm TABB Group, which noted the following:

"Institutional investors are very interested in finding a solution, but they have not seen one that they think is perfect for various reasons. [19659005] Somerville added that he worked with a family office that allegedly stores cryptographic crypto hardware in "baby carot" of customers organized in binders until "there is a better alternative" [19659002] While individual retail investors have a relatively safe option to store encryption in off-line cold storage, US Family Securities and Exchange Commission (SEC) need family offices and hedge funds to use a third-party regulated entity. shares worth more than $ 150 million, as reported by the CNBC.

Next to BitGo, this year saw Coinbase, the leading provider of foreign exchange services and US portfolio, as well as the launch of the Nomura Bank in Japan its custody solutions. As part of its forthcoming Bakkt offer, the New York Stock Exchange (NYSE) ICE operator will also bring an important new trusted caretaker solution into cryptographic space.

Source link