Future of Crypto Markets: Role of Custodians and Exchanges
While bitcoin offers the possibility of removing third parties and making transactions peer-to-peer, the reality is that most cryptocurrency today is bought and stored using third party exchanges. These platforms typically act as combined brokers and custodians—executing orders on behalf of customers, and storing their funds in commingled omnibus custodial accounts. In truth, crypto exchanges and custodians must evolve to become financial services institutions following robust regulatory frameworks and accountability practises if we are to see more institutional adoption.
Read the full article by coinpass and Trustology to learn more.