METACO: SILO
Flexible Deployment of Institutional-Grade Crypto Custody
Abstract
Natively-Digital Assets
Cryptocurrencies are the first form of natively digital bearer assets which are secured through public / private key cryptography. Therefore, security of private keys underpins digital asset custody. The custody of digital bearer assets demands new end-to-end security protocols which relate to all financial and non-financial activities regarding digital asset trading, compliance, and custody.
New institutional-grade custody solutions are emerging and key functionality includes direct connectivity to public blockchains, trading venues, and the ability to record beneficial ownership in a wallet.
There are also different custody models which we explored in our prior note, Crypto Custody. These models can be broadly defined as being either custodial vs. non-custodial or self-custody vs. third party. The precise taxonomy of custody solutions is constantly evolving as new functionality is being introduced which blends traditional custody and asset servicing with the natively digital attributes of public blockchains.
Hardware Security Modules
For incumbent financial institutions, Hardware Security Modules (HSMs) have become the market standard for key generation and security.
This technology investment can yield significant early mover opportunities and critical insights into the burgeoning digital asset servicing ecosystem. Flexible deployment models coupled with highly customizable compliance and workflow protocols present tailor-made solutions for FIs.
METACO designs institutional digital asset management solutions. SILO is its institutional operating system for digital assets security. It is designed for banks, exchanges, and infrastructure providers and offers a complete technology stack for the management of cryptocurrencies, tokens, and distributed ledgers.