What are the key differences between a trustee and a custodian when it comes to managing cryptocurrency investments?

3 answers

• Mar 22, 2022 · 3 years ago
  A trustee and a custodian play different roles in managing cryptocurrency investments. A trustee is responsible for holding and managing assets on behalf of a beneficiary. They have a fiduciary duty to act in the best interest of the beneficiary. On the other hand, a custodian is responsible for safeguarding and storing assets, but they do not have the same fiduciary duty as a trustee. In the context of cryptocurrency investments, a trustee would have the authority to make investment decisions and manage the assets, while a custodian would primarily focus on the safekeeping of the assets.
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• Mar 22, 2022 · 3 years ago
  The key difference between a trustee and a custodian in managing cryptocurrency investments lies in their responsibilities and obligations. A trustee is legally bound to act in the best interest of the beneficiary and has the authority to make investment decisions. They are responsible for managing and growing the assets. On the other hand, a custodian's role is to securely store and safeguard the assets. They do not have the authority to make investment decisions and their primary focus is on maintaining the security of the assets.
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• Mar 22, 2022 · 3 years ago
  When it comes to managing cryptocurrency investments, the distinction between a trustee and a custodian is important. A trustee has the power to make investment decisions and manage the assets on behalf of the beneficiary. They have a legal obligation to act in the best interest of the beneficiary and are held to a higher standard of responsibility. On the other hand, a custodian's role is to provide secure storage for the assets and ensure their safekeeping. While they have a duty to protect the assets, they do not have the same level of decision-making authority as a trustee.
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