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Crypto Custodian Aegis to Add Coverage of Lido's Staked Token Derivatives

Aegis’ end-to-end custody now includes liquid staking services through Lido for its institutional users wary of regulation.

Updated May 9, 2023, 4:06 a.m. Published Jan 26, 2023, 11:37 p.m.
(Pixabay)
(Pixabay)

Crypto custodian Aegis will offer custody for liquid staking derivatives issued by decentralized finance (DeFi) protocol Lido.

Aegis, which says it holds trust licenses in Hong Kong and and the U.S., offers custodial services for on-chain transactions, while Lido, the largest DeFi app by total value locked, provides staking services to users that want to access liquidity to their staked assets.

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The partnership comes as interest in liquid staking derivatives increases, in part because of the Merge, or the Ethereum blockchain’s transition to a proof-of-stake (PoS) consensus mechanism.

Read more: Ethereum's Upcoming Shanghai Upgrade Powers Lido DAO, SWISE, RPL Tokens Higher

Aegis’ end-to-end custody entails handling every aspect of digital asset management for users, which already included safe storage and fiat-to-cryptocurrency conversation. With the new Lido partnership, Aegis said clients can now participate in liquid staking.

Aegis CEO Serra Wei said the latest play stems from demand from family offices and regulation-sensitive businesses overall.

“Entities that are subject to regulations specifically want to access staking benefits and services through a secured gateway,” Wei said.

Additionally, by providing custody solutions for Lido’s digital assets, Aegis is able to increase the security of user’s digital assets, said Lido co-founder Vasiliy Shapovalov.

Aegis did not disclose how much capital is stored through its custodial services, while Lido has $8 billion worth of ether staked in its protocol.

Read more: Crypto Custodian Aegis Trust Offers $25M Insurance Policy for NFTs

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