**21Shares Expands Custodian Roster for Crypto ETFs**
Asset manager 21Shares is shaking things up by adding Anchorage Digital Bank and BitGo as custodians for its spot cryptocurrency ETFs. This move, announced on September 12, means Anchorage and BitGo will join Coinbase in safeguarding Bitcoin (BTC) and Ether (ETH) for 21Shares' ARK 21Shares Bitcoin ETF (ARKB) and 21Shares Core Ethereum ETF (CETH).
Andres Valencia, head of investment management at 21Shares, emphasized the importance of diversifying custodians to enhance security. This makes 21Shares one of the first US spot crypto ETF issuers to go beyond Coinbase.
Nate Geraci, president of The ETF Store, believes this trend of diversifying custodians will continue to reduce risks. Regulated digital asset custodians like Fireblocks, Coinbase Custody Trust, and Fidelity Digital Asset Services are also gaining traction in the US.
The SEC is keeping a close eye on compliance with custody rules, recently charging Galois Capital Management for mishandling client assets. Anchorage Digital Bank aims to provide the regulatory certainty needed for secure crypto investments.