Prime Trust, a blockchain-based trust company, announced on Tuesday that it will now accept all ERC-20 tokens as part of its line of institutional and retail custody offerings. Previously, the company only accepted Bitcoin and Ethereum for its range of custody services.
Opening A Broad Custody Portal Never Available Before
The broader acceptance of tokens for custodial services changes the landscape of holding and organizing cryptocurrency and digital investments.
ERC-20 is the technical standard on the Ethereum blockchain, used for the issuance of securities tokens on the blockchain.
Holding custody of the thousands of ERC-20 tokens that are already issued and those that will be issued in the future had previously been impossible. This is due to the large amount of these coins, coupled with the nuances within each one. Thus, Prime Trust is rolling out its new institutional and retail custody services to cover all of these tokens.
In addition, Prime Trust established this broader allowance due to investors’ needs of organizing various investments and securely conserving their tokens. The company works in tandem with SEC reporting entities such as hedge funds and exchanges, enabling their compliance as a Qualified Custodian.
Scott Purcell, the CEO of Prime Trust, acknowledged the novelty of this new ERC-20 – inclusive service.
“We’ve had an engineering breakthrough,” said the CEO, “and we are excited to be the first financial institution that can easily cold-storage any ERC-20 token–along with BTC and ETH, of course.”
Creating The Service & Welcoming Various Institutions
Currently, a multitude of investors have no choice other than to keep their tokens in a swath of digital wallets, which are susceptible to loss, hacks, theft, estate issues and even complex legal problems. With Prime Trust’s new offering, ICOs and STOs can be facilitated with far more options for ERC-20 tokens.
Investors can now protect all of their crypto assets in qualified custody, in which they will receive simplified reporting through a single statement.
Prime Trust has convened with multiple ERC-20 token developers and with one of the main writers of the ERC-20 standard, in order to achieve this custody service. The discussions were held in a conference by Polymath, a Prime Trust partner company, hosted in Barbados. The conference had laid out the foundation for what would become the industry’s first such custody service.
In the wake of the newly accepted tokens, Prime Trust welcomes institutions, hedge funds, ICO platforms, broker-dealers, funding portals and cryptocurrency exchanges to interconnect through APIs. It seeks to work with them in leveraging disparate business models while making it easier to hold BTC, ETH, and any ERC-20 tokens in custody.
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