Trust Compnay
Fiduciary entities that manage investment trusts holding cryptocurrencies for investors seeking regulated exposure without direct ownership.
What is Trust Company?
In the context of digital assets, a trust company, such as Grayscale, is a fiduciary entity that manages investment trusts holding digital assets like Bitcoin and Ethereum for investors seeking regulated exposure without direct ownership. Grayscale, founded in 2013, operates trusts like the Grayscale Bitcoin Trust (GBTC), which holds significant Bitcoin and other vehicles for assets like ETH and SOL.
These trusts provide wealth management and investment advisory services, enabling institutional and retail investors to access digital assets through public quotations or private placements, ensuring tax-efficient strategies and asset protection. Operating under U.S. regulatory frameworks, such trust companies facilitate secure, compliant investment in the digital asset market, often acting as a bridge between traditional finance and decentralized ecosystems.
Related Terms
BitLicense (New York)
New York Department of Financial Services' licensing requirement for virtual currency businesses, including stablecoin issuers, with enhanced blockchain analytics in 2025.
Proof-of-Stake (PoS) Ethereum
A consensus mechanism used by Ethereum to secure its network and validate transactions.
Cross-border Payments
Payments using digital assets to facilitate fast, low-cost international transactions.
Bitcoin Supply Curve and Halving
The Bitcoin supply curve is a step-wise logarithmic function that schedules the issuance of 21 million total digital assets over approximately 140 years via halvings, which reduce mining rewards every 210,000 blocks to enforce scarcity.
Fixed Rate (Lending)
A stable interest rate locked for a specific period in DeFi lending.
Aave
A decentralized non-c custodial liquidity protocol for lending and borrowing digital assets on blockchains like Ethereum.