Jennifer Lee, Head of Compliance
Anchorage is proud to announce the passing of yet another milestone on our journey as the premier digital asset platform for institutions: successfully completing a SOC 1 Type 1 assessment. Obtaining a SOC 1 report is widely recognized as a marker of excellence in financial services, and serves as a third party attestation that the controls supporting a company’s financial reporting and operations are suitably robust. What sets the Anchorage report apart is a heavy emphasis on our ability to prove exclusive control, confidentiality, and availability of private keys — an area unique to crypto overall, and one where solutions that rely on physical security, redundancy, and manual human operations have been known to struggle. As we continue to push the digital asset space forward, we’re proud to offer our clients the same kind of attestation they expect from traditional finance.
The SOC 1 Type 1 report is only granted to an organization after undergoing rigorous scrutiny under an independent, third party audit. For Anchorage, this meant engaging Big Four auditor Ernst & Young (EY) to inspect Anchorage’s internal systems and controls supporting our clients’ financial reporting, in addition to exclusive control of private keys. EY conducted our audit in accordance with the Statement on Standards for Attestation №18 (SSAE 18) and the International Standard on Assurance Engagements №3402 (ISAE 3402). Successfully completing this examination and being granted the SOC 1 Type 1 report more formally signifies something we have long known: the controls and processes Anchorage has developed are world class, and meet a truly rigorous standard.
While being granted the SOC 1 Type 1 report this year lends additional credence to our longstanding commitments to security and compliance, it also builds on the successes of years past. Becoming a Qualified Custodian with fiduciary powers with the granting of a trust company charter from the South Dakota Division of Banking, and developing a ground-breaking, comprehensive insurance policy that covers assets under custody end-to-end are all part of what we believe is required to run a truly institutional platform for digital assets.
In the future, Anchorage will continue to work with EY to complete SOC 1 Type 2 evaluations on a regular basis. Going through careful, independent examination at a consistent cadence will help to ensure that Anchorage processes and procedures continue to operate at a high level, and give clients and partners the kind of third party validation they expect.
If you’d like to learn more about Anchorage, or if you’re a current or prospective client or partner interested in our SOC 1 Type 1 report, please get in touch.
Disclaimer: Custody services are offered through Anchorage Trust Company, a South Dakota chartered trust company. Trading and collateral management services are offered through Anchorage Hold, LLC, a Delaware limited liability company. Anchorage Trust Company and Anchorage Hold are not registered with the SEC or any state securities authority. Services are not yet offered to residents of New York. Anchorage Trust Company does not engage in the offer, sale or trading of digital assets. Anchorage Hold does not engage in the offer, sale or trading of securities. Anchorage Trust Company and Anchorage Hold do not provide legal, tax, or investment advice. Services are provided only to clients that meet specified standards of sophistication and have entered into the applicable custody or trading agreements. Anchorage Trust Company and Anchorage Hold are wholly-owned subsidiaries of Anchor Labs, Inc., a Delaware corporation headquartered in San Francisco, California.
Holdings of cryptocurrencies and other digital assets are speculative and involve a substantial degree of risk, including the risk of complete loss. There can be no assurance that any cryptocurrency, token, coin, or other crypto asset will be viable, liquid, or solvent. Nothing in this communication is intended to imply that any asset held in custody by Anchorage is low-risk or risk-free. Digital assets held in custody are not guaranteed by Anchorage Trust Company or Anchorage Hold and are not FDIC-insured.