Most notable native crypto custodians include Anchorage, NYDIG and Paxos. Starting in July 2020, every custodial bank in the U.S. can custody cryptocurrencies, too, after the Office of the Comptroller of the Currency ( OCC) cleared the way for all nationally chartered banks to provide crypto custody services.
How does crypto custody work?
When it comes to crypto custody, it works a little bit differently. Digital asset custodians do not technically store any of the assets because all data and transactions exist on a public ledger called the blockchain. Instead, what they guard are users’ private keys – the important part of a crypto wallet that grants access to the funds held in it.
Which banks are planning to custody digital assets?
In the realm of custody banks, which verify and safeguard trillions of dollars of traditional assets for money managers, major players including Bank of New York Mellon, State Street and Northern Trust have all announced plans to custody digital assets.
