• Nasdaq Inc. is looking to launch its crypto custody service in the second quarter of 2023.
• The group is putting technical infrastructure and regulatory approvals in place before the launch.
• Nasdaq has applied for a limited-purpose trust company charter to oversee the custody service.
Nasdaq Plans Crypto Custody Service Launch
Nasdaq Inc. is planning to launch its crypto custody service in the second quarter of 2023, according to Bloomberg. The group is working towards putting technical infrastructure and regulatory approvals in place ahead of the launch date.
The project marks a significant milestone from Nasdaq Inc., according to Senior Vice President Ira Auerbach, Head of Nasdaq Digital Assets. The exchange operator’s first integration into the crypto market involves putting all needed technical infrastructure in place before the service can be launched.
Auerbach noted that securing regulatory approval is an especially important step, due to pushback from regulatory bodies facing the crypto industry. To this end, Nasdaq has reached out to New York Department of Financial Services with an application for a limited-purpose trust company charter that would oversee their custody service.
Traditional Institutions Entering Crypto Market
Traditional institutions have been making room for themselves within the digital currency and broader crypto market, noting that customers often look for options related to these assets due to their wide variety of benefits they present as investments options.
Nasdaq’s upcoming crypt custodial services could potentially provide added security and convenience in managing digital assets both inside and outside traditional banking institutions when it launches at some point during Q1-Q3 2023 – taking into account pending technical infrastructure and regulatory approval processes that are still necessary prior to launching such a major undertaking by Nasdaq Inc..