Tri-party custody setups are becoming the standard for institutional collateral ops in crypto.

How it works: Neutral custodian sits between borrower/lender, holding collateral off-exchange while maintaining access.

Why it matters:

Segregated custody - your assets stay isolated
Real-time collateral tracking - no blind spots
Counterparty risk drops hard
Keep exchange access without hot wallet exposure

If you're moving size or running leverage, this infrastructure isn't optional anymore. It's table stakes for serious capital.

The institutional playbook is evolving fast. Custody layer = trust layer.