> Of course you are carrying some intermediary risk but that's also inherent with stock brokers as well.
Stock broker customers have SIPC to reduce risk. Is there an equivalent entity for the crypto token space?
Stock broker customers have SIPC to reduce risk. Is there an equivalent entity for the crypto token space?
"SIPC protection generally extends to tokenized securities to the same extent that it extends to traditional securities, with protection limited to instruments that qualify as “securities” within the meaning of SIPA’s “security” definition. Thus, for example, if held by a SIPC member for a customer under the conditions established in SIPA, tokenized instruments that qualify as “stock” may be eligible for SIPC protection regardless whether those instruments are registered with the SEC under the Securities Act of 1933, whereas tokenized “investment contracts” are eligible for protection only if so registered."