HomeCryptoPrometheum's Delayed Response to U.S. Crypto Compliance Sparks Controversy

Prometheum’s Delayed Response to U.S. Crypto Compliance Sparks Controversy

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Prometheum’s Custody and Trading Operations Await SEC Compliance Approval

Prometheum, a crypto-native startup, has been causing a stir in the crypto sector with its delayed ribbon cutting on its custody and trading operations. The company, which boasts being the first to receive a special-purpose broker dealer approval under SEC regulations, has been working diligently to ensure full compliance with the U.S. Securities and Exchange Commission’s demands.

Despite missing the target date for the launch of its custodial services for institutional clients, Prometheum’s co-CEO Benjamin Kaplan remains optimistic about the imminent completion of the auditing process for smart contracts. The company is eager to provide custody for assets like Ethereum’s ether (ETH) and is on track to become a one-stop shop for investors looking to trade digital tokens on its alternative trading system (ATS).

While the delay in Prometheum’s operations has left many in the industry waiting with bated breath, the company’s efforts have not gone unnoticed by SEC Chair Gary Gensler, who has commended their progress. However, Prometheum’s contrarian view that cryptocurrencies should be treated as securities has sparked controversy within the industry, with some accusing the company of being an SEC pet project.

As Prometheum prepares to make its mark in the crypto world, industry insiders and regulators alike will be watching closely to see if their model of compliance and oversight will set a new standard for the industry. With the company’s trading operation set to launch in the second quarter of 2024, all eyes will be on Prometheum as they navigate the complex landscape of digital asset securities.

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