The digital asset custody industry is experiencing unprecedented growth, according to a recent report by Tiger Research. According to the results published in the material, projections indicate a surge of over 50% in value by 2024, and the sector is poised for significant transformation driven by institutional interest and regulatory advancements.
Market Growth Projection
The report estimates that the market will expand from USD 447.9 billion in 2022 to USD 683 billion in just two years. This remarkable growth is largely attributed to increasing demand from institutional investors who are seeking secure and compliant ways to manage their digital assets.
Models of Custody Providers
Tiger Research identifies three primary models of custody providers:
- Traditional custodians
- Hybrid models
- Technology providers
Each of these models is adapting to the unique regulatory environments and client requirements in key markets, including Singapore, Hong Kong, Japan, and South Korea. As regulations evolve, these providers are positioning themselves to meet the diverse needs of their clients while ensuring compliance with local laws.
Ripple has partnered with Absa Bank to enhance digital asset custody services in Africa, marking a significant step in the region's blockchain adoption. This collaboration aligns with the growing institutional interest highlighted in recent reports on digital asset custody. Read more.
