This article has been updated to include a clarification from Crypto.com that while its exchange is still not live in the US, the Crypto.com app never was suspended.
Crypto.com Launches Institutional Cryptocurrency Custody Service in the US
Crypto.com has launched an institutional cryptocurrency custody service in the United States as part of a broader plan to expand its presence in the country. On December 23, the crypto exchange announced the launch of this new service, referred to as Crypto.com Custody Trust Company.
Background on Crypto.com and Its Expansion
Crypto.com, headquartered in Singapore, initially launched its services outside the US for institutional investors before making its debut there in late 2022. The company has been actively expanding its reach in key markets such as the US and Canada to strengthen its position in these two of the world’s most active crypto markets.
Regulatory Context: Trump’s Influence
The launch coincides with significant regulatory developments. On December 23, U.S. President-elect Donald Trump met with Crypto.com CEO Kris Marszalek at Trump’s Mar-a-Lago estate to discuss crypto policies as part of his administration’s regulatory agenda. Earlier that day, Crypto.com publicly dropped its lawsuit against the US Securities and Exchange Commission (SEC), citing its intention to collaborate with incoming regulations aimed at creating a favorable environment for the crypto industry.
Crypto.com’s Regulatory Stance
It is noteworthy that Crypto.com remains firmly within the regulatory framework in both the US and Canada. The company has confirmed that while its institutional exchange is not yet "live" in the US, it was never suspended by the U.S. authorities. This clarification dispels any lingering concerns about the company’s compliance with local regulations.
Expansion Strategy: A Roadmap for US Markets
As part of its broader expansion strategy, Crypto.com aims to solidify its position as a leading player in both the US and Canadian markets. This includes not only institutional crypto services but also efforts to attract high-net-worth individuals and institutional investors through tailored solutions designed to meet their specific needs.
Transition to Crypto.com Custody Trust Company
The transition involves the migration of digital assets currently held by Crypto.com’s US customers, which will occur over the coming weeks. Kris Marszalek, Crypto.com’s CEO, emphasized that this move reflects confidence in North America as a crypto market hub and represents an important step in advancing the company’s roadmap.
Market Impact: Regulatory Framework Development
The launch of Crypto.com Custody Trust Company underscores the growing regulatory environment in the US. As one of several institutions actively working to establish a robust framework for institutional crypto services, Crypto.com joins a growing list that includes established firms such as Coinbase and Fidelity Digital Asset Services.
Other Regulated Custodians in the Market
In addition to Crypto.com, several other regulated custodial services are making significant strides in the US market. For instance, in September 2023, BitGo, a well-known crypto custodian, launched a fully regulated platform designed to manage and custody native tokens for Web3 protocols. Earlier that month, Fireblocks obtained approval from New York’s financial regulator to operate as a custody service provider for US clients.
Institutional Crypto Providers
The competitive landscape in the US crypto market is increasingly diverse, with several prominent firms now operating under licensed regulatory frameworks. These include Coinbase Custody Trust and Fidelity Digital Asset Services, among others. Each of these providers offers unique features tailored to meet the evolving needs of institutional investors.
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