Breaking New Ground in Digital Asset Custody

Prometheum Ember Capital has hit a home run by receiving approval from the Financial Industry Regulatory Authority (FINRA) to operate as a special purpose broker-dealer (SPBD) for digital asset securities. This prestigious designation allows them to handle the custody of digital asset securities, making it safe for both retail and institutional clients to breathe a sigh of relief, knowing their assets are in qualified hands.

What Makes This Approval Significant?

Historically, Prometheum Ember Capital becomes the first-ever firm to offer custody of digital asset securities as a qualified custodian under the U.S. Exchange Act of 1934. To put this into perspective, while many of its competitors possess state licenses, Prometheum has secured the gold star in regulatory compliance. FINRA, the self-governing entity for the U.S. securities industry, has validated their ability to act as a trustworthy custodian.

What Aaron Kaplan Had to Say

“Digital asset investors in the U.S. are currently custodying cryptocurrencies that are securities through platforms that don’t offer the same SEA 15c3-3 [Rule] customer protections required by the federal securities laws.” – Aaron Kaplan

Kaplan’s statement underscores the need for better security measures for digital asset investors who deserve protections typically associated with federal securities laws. It’s about time that these investors are served with the safeguards they rightly expect!

What This Means for Investors

• Prometheum Ember Capital is geared to offer services to both institutional and retail customers.
• Individual investors can now join a waitlist on Prometheum’s website, a move that adds an air of anticipation.

The SEC’s watchful eye remains a factor as the agency reviews traditional and crypto firms alike. New SEC regulations might compel crypto firms to house their assets in separate entities, stirring quite the debate within the crypto community.

Future Partnerships and Expansion

Additionally, Prometheum’s sister subsidiary, Prometheum ATS, has FINRA registration to provide alternative trading services, which include the trading, clearing, settlement, and custody of digital asset securities. Launched in October, this initiative aims to help blend regulated digital asset trading into existing trading frameworks. A partnership with Anchorage Digital Bank has fortified this service for institutional and retail investors alike.

A New Era for the Digital Asset Industry

Prometheum Ember Capital is not just making headlines; they are crafting the future landscape for digital asset custody. As more firms seek similar approvals, the industry can anticipate a standardization of practices that enhance investor protection and trust. It’s an exciting time to be watching the convergence of traditional finance with the burgeoning world of digital assets.