Diginex Arm Becomes First Stand-Alone Crypto Custodian Approved by UK Financial Watchdog
Th firm hopes FCA approval will make it more attractive to institutional investors.
Diginex’s custodial arm, Digivault, has won regulatory approval from the U.K.’s Financial Conduct Authority (FCA) to register as a custodian wallet provider under anti-money laundering regulations.
- The firm is the first stand-alone digital-asset custodian to receive approval from the FCA under 2017 regulations designed to combat money laundering and financing of terrorism, according to an emailed announcement Friday.
- It provides both cold and so-called warm storage, which incorporates hardware and software firewalls to protect assets while ensuring they remain readily available.
- Digivault expects the FCA's approval will spur demand from institutional investors looking for the same level of regulatory oversight and protection received that other assets have.
- In October, Diginex became the first crypto exchange operator to list on Nasdaq when it merged with special-purpose acquisition company 8i.
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