The Nevada Regulatory Authority has requested the appointment of a trustee for Prime Trust, a cryptocurrency custodian with over $68 million in digital assets.
This move has raised concerns over the liquidity and security of assets held by the custodian and dominated by the AUDIO altcoin.
According to a report by Arkham, the Prime Trust's largest asset is AUDIO, worth $61 million, the native token of Audius, a decentralized music streaming platform. AUDIO accounts for almost 90% of the company's total crypto assets, including 245 Bitcoins (BTC) worth approximately $7.5 million.
This means that Prime Trust owns approximately 31% of AUDIO's circulating supply, which could create significant difficulties to liquidate or transfer holdings in an emergency.
Where AUDIO is most liquid is Binance, the world's largest crypto exchange by volume, with only 3.7 million USD worth of AUDIO traded there in the last 24 hours.
*Not investment advice.
