Fireblocks Trust Company has established a partnership with key players, including Galaxy and Bakkt, to enhance secure custody solutions for digital assets aimed at institutional investors. This collaboration is part of an effort to address the escalating institutional demand for reliable and regulated cryptocurrency custody.

Operating under the New York Department of Financial Services (NYDFS), Fireblocks Trust Company is launching a custody framework that will cover various aspects of digital asset management, including Exchange-Traded Funds (ETFs), Digital Asset Treasuries (DATs), and token launches.

“Regulatory compliance and security are non-negotiable,” stated Matt Walsh, the founding partner at Castle Island. “Fireblocks Trust Company achieves both with their qualified custodian status and strong operational controls.”

Fireblocks Trust Company utilizes advanced cold storage technology and boasts a connection to over 2,400 financial institutions.

Key Institutional Use Cases

The need for regulated cryptocurrency infrastructure is growing among institutional clients, demonstrated by increased interest in token offerings, ETF creation, and collateralized lending—all requiring responsible custodianship.

Adam Levine, CEO of Fireblocks, emphasized that regulated custody serves as a critical driver for institutional acceptance of cryptocurrencies:

“By merging necessary protections with trusted infrastructure, Fireblocks Trust Company is propelling the next wave of institutional cryptocurrency adoption.”

The company, which aims to provide cold storage solutions to U.S. clients, was granted a New York state charter earlier this year for its dedicated custody services.