CheckSig Launches Embedded Crypto Services for Banks, Wealth Managers, and Fintechs

CheckSig, a digital asset custodian based in Italy, has introduced embedded crypto services that enable banks, wealth managers, and fintech companies to incorporate blockchain technologies into their platforms. This initiative aims to streamline the integration of cryptocurrency features without necessitating significant technological or regulatory hurdles.

Since 2020, CheckSig has maintained a commitment to transparency through public Proof-of-Reserves. The company offers insured custody services with coverage from an insurer rated AA by Standard & Poor’s. These services are further enhanced by SOC 1 and SOC 2 Type II attestations obtained through recurring audits by one of the Big Four accounting firms, ensuring adherence to recognized standards for system and organizational controls.

By 2024, CheckSig has become the sole crypto-asset service provider in Italy to serve as a tax withholding agent for its clients. This unique position positions it at the forefront of regulatory compliance within the Italian market.

In addition to these custodial services, Clear, an associated platform from CheckSig, offers a Crypto-as-a-Service solution tailored for institutional needs. Designed with security and rapid integration in mind, this service enables financial institutions to add functionalities such as crypto trading, custody, staking, crypto-backed loans, and tax compliance into their systems.

Key Features of the CheckSig Clear’s Embedded Crypto Solution

With CheckSig’s embedded crypto solution, institutions can now integrate several key features:

• Regulated crypto trading: Clients can buy, sell, and swap Bitcoin, Ethereum, and other digital assets with execution in line with best practices.

• Institutional-grade custody: A multi-signature architecture ensures full segregation of client assets for added security.

• Instant crypto-fiat settlement: Integrated and compliant mechanisms facilitate seamless conversion between digital and fiat currencies.

• Escrow services for crypto-backed lending: Secure on-chain collateral management supports the secure lending process.

• Protocol staking: End-users can access staking rewards across supported blockchain networks.

• Tax reporting tools: Automated tracking solutions ensure tax compliance in various jurisdictions.

• KYC/AML compliance: Comprehensive onboarding and monitoring processes align with EU regulatory requirements.

• White-label or co-branded integration: Institutions can offer these services under their own brand or under the CheckSig name.

Clear’s infrastructure is supported by two international custody-related patents and a security framework acknowledged by the Bank of Italy’s Fintech Hub.