BlockQuake, a digital asset exchange based in New York, has announced its partnership with Prime Trust, a Nevada based trust company.
Serving crypto firms like OKCoin, Binance and Bitterex, Prime trust started offering custody services for crypto by the end of 2018. The Trust company will provide KYC (Know-your-customer), and AML (anti-money-laundering) check for BlockQuake. It will also offer customer fiat and cold storage custody for crypto as well as provide FDIC insured back to the customers.
Due to the extra work that needs to done by the banks, whether it is to comply with the KYC or AML regulations, crypto-friendly banking services are extremely rare. The trust company outsource its deposits to other banks in order to provide FDIC coverage to the customers of exchange.
Blockquake To Fully Launch Its Services In Q2 2020
Prime Trust, the Nevada based trust company, entered hotly competitive crypto custody business in 2018. The small United State based trust organization had played behind the scenes roles in various dollar-backed cryptocurrencies.
BlockQuake is only open to limited customers as it is in a testing phase. The exchange would be launched fully by the second quarter of the year, but currently, it is focusing on testing its ability to manage the Know-your-customers checks, execute trades, hold deposits and other operating features of its wallet.
In January 2020, the exchange applied for a New York State BitLicence with New York Department Financial Services. The firm is already registered as a money services business with the U.S. Financial Crimes Enforcement Network.
The CEO of BlockQuake, Antonio Brasse, said in a press release that as crypto trading is thriving in popularity, it is a must to regulate the industry as well as reduce the risk for investors. He added that new crypto regulations are coming into play almost every day now with the growing demand to address the security issues.