The reason given for this decision is the legal risks in the United States, as stated in the Q2 2023 report. Friedman stated:
“With the results of this quarterly report and considering the evolving legal and business landscape in the United States, we have made the decision to halt the deployment of our cryptocurrency custody business in the US and our related licensing efforts.”
Despite the temporary suspension, the director emphasized that the company remains committed to developing its digital asset business and closely monitoring the market for potential legal events in the coming months.
Nasdaq initially announced its digital asset custody project in September 2022. The company had planned to establish a dedicated division that would enable customers to securely store Bitcoin.
Subsequently, in late March 2023, the company proceeded with its plans, aiming to launch by the end of July.