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.
Updated Sep 14, 2021 at 12:55 p.m. UTC
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FCA
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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