Asian Asset Managment Firm Fusang Creates Crypto Vault ServiceJul 23, 2018, 9:50PM
Fusang Investment Office launches a crypto vault service, aimed at offering institutional investors a secure storage solution.
The Fusang Investment Office, an Asian asset management firm, has announced plans to launch a vault service for cryptocurrency custody.
According to Fusang’s CEO, Henry Chong, the vault service is expected to be launched by the fourth quarter of this year and will operate similarly to conventional banks. Fusang will provide clients with periodic audits, as well as collaborating with insurance companies to provide cybersecurity insurance coverage.
While Chong didn’t share any more details about proposed features, he briefly described the importance of the service to the South China Morning Post,
Digital assets are akin to bearer bonds, whereby whoever [is] holding the security is presumed to be the owner and there is no registration of ownership information of the security. Hence, the way we keep digital asset[s] secured is of paramount importance.
The Fusang Investment Office is regulated by the Monetary Authority of Singapore and licensed by the Securities and Futures Commission of Hong Kong. Fusang's compliance with authoritative bodies ensures reliability and legitimacy, which is essential to promoting the new crypto vault service, as cryptocurrencies are still surrounded by an inadequate regulatory framework and larger, institutional investors are seeking more security assurance from third-party custodial service providers.
Fusang follows on the heels of Coinbase which also launched its own custodian service for large financial institutions, dubbed Coinbase Custody, earlier in July. These steps indicate that cryptocurrencies are now within the sights of hedge funds and investment firms and that Fusang is looking to make an early entry in a niche market which is still in its infancy.
Disclaimer: information contained herein is provided without considering your personal circumstances, therefore should not be construed as financial advice, investment recommendation or an offer of, or solicitation for, any transactions in cryptocurrencies.