Storing digital assets was one of the topics at the Point Zero Forum Tuesday, with panelists discussing how both decentralized finance and traditional finance are providing this service to clients.
Counterparty risk and transparency are key concerns and market participants are asking for services from regulated custodians, president of crypto exchange OKX and CEO of Okcoin Hong Fang, said during a panel at the Point Zero Forum on advancements in custody solutions for widespread adoption.
Yet, regulation is also pushing blockchain further away from its initial premise of being decentralized, Metaco’s founder and CEO Adrien Treccani said.
Metaco, which provides infrastructure solutions for institutional investors including large global custodians and banks, was bought by US industry giant Ripple in May for $250 million, as finews reported.
Decentralized Principle
Either we want the qualities of blockchain, such as giving the power to the individual, «or we want another top down system,» he said. The ideal being most likely somewhere in between.
In the aftermath of FTX, banks are reaping the benefits from this development as they win much of the custody services businesses, he added.
Lily King, COO of institutional custody asset provider Cobo, has also seen more institutional demand for compliance, risk management and stability, since the crypto exchange collapsed last year.
