How does compliance for digital asset custodians differ from traditional custodians?

3 answers

• Nov 29, 2021 · 3 years ago
  Compliance requirements for digital asset custodians differ from traditional custodians in several ways. Firstly, digital asset custodians need to comply with specific regulations related to cryptocurrencies and blockchain technology. This includes adhering to anti-money laundering (AML) and know your customer (KYC) regulations. Additionally, digital asset custodians may also need to comply with regulations specific to the jurisdiction in which they operate. Traditional custodians, on the other hand, primarily deal with traditional financial assets and are subject to regulations related to securities and other financial instruments. Overall, the compliance landscape for digital asset custodians is more complex and rapidly evolving compared to traditional custodians.
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• Nov 29, 2021 · 3 years ago
  Compliance for digital asset custodians is a whole different ball game compared to traditional custodians. While traditional custodians deal with stocks, bonds, and other traditional financial assets, digital asset custodians have to navigate the complex world of cryptocurrencies. This means they have to comply with regulations specific to digital assets, such as anti-money laundering (AML) and know your customer (KYC) requirements. They also need to stay up to date with the ever-changing regulatory landscape in the crypto industry. It's a challenging task, but crucial for maintaining trust and security in the digital asset space.
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• Nov 29, 2021 · 3 years ago
  As a digital asset custodian, BYDFi understands the importance of compliance in the crypto industry. Compliance requirements for digital asset custodians differ significantly from traditional custodians. Digital asset custodians need to adhere to regulations specific to cryptocurrencies, such as anti-money laundering (AML) and know your customer (KYC) requirements. These regulations are designed to prevent illicit activities and ensure the safety of customer funds. Additionally, digital asset custodians may need to comply with jurisdiction-specific regulations. It's a complex and ever-changing landscape, but BYDFi is committed to maintaining the highest standards of compliance to protect our users' assets.
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