U.S. crypto asset custody company Prime Trust “insufficient customer funds”: Nevada regulator | CoinDesk JAPAN
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Crypto custody firm Prime Trust has been unable to meet all withdrawal requests this month due to a “lack of client funds,” Nevada regulators said Wednesday. Nevada regulators have ordered Prime Trust to cease all activity that violates state regulations, saying the company’s “overall financial condition… has deteriorated significantly to critically deficient levels.” Prime Trust is in “significant loss” and may become insolvent, he said. “Around June 21, 2023, Prime Trust was short of funds and unable to meet customer withdrawals due to large amounts of debt to customers recorded on its balance sheet.” We are unable to protect our
Show AI SummaryPrime Trust’s bankruptcy estate targets Swan Bitcoin’s parent entity in a lawsuit.Swan CEO Cory Klippsten allegedly received insider information from a Prime Trust executive.The executive, a compensated advisor to Swan, initiated an encrypted chat with Klippsten before Prime’s regulatory shutdown. The bankruptcy estate of Prime Trust has filed…
The Nevada Department of Business and Industry’s Financial Institutions Division (FID) has taken action against Prime Trust, LLC. This US-based financial institution specializes in custody and settlement services for digital assets. The FID has alleged that Prime Trust has violated Nevada regulations and has a shortfall in customer funds, which…
Swan Bitcoin is offering new insight into how Bitcoin stored on its exchange will be held in custody in the future, following a tumultuous month in which many of the company’s users were left looking for clarity. Announced Thursday, Swan Bitcoin says it intends to partner with BitGo to launch…