Why Digital Assets Need Regulations and Custody

This IDC Market Perspective examines the extremely rapid and timely rise of interest in digital assets by both institutional and retail investors and the associated importance of regulations and digital asset custody. Notably, the importance of custody systems (and associated anti-money laundering [AML], know-your-customer [KYC], and compliance systems) is highlighted."Time is of the essence - there is an incredible amount of money pouring into Bitcoin," says Phillip Silitschanu, research director, IDC's Worldwide Blockchain, Crypto, Non-Fungible Token (NFT), and Web3 Strategies. "The market cap of Bitcoin has more than tripled in the past 12 months, and other cryptocurrency shows that investors, both institutional and retail, see the promise of digital assets," he adds.