Direct • Honest • Safe
Custody & Safeguarding of Assets
At DHS Exchange, the safety of client assets is our highest priority. We follow a Direct, Honest, Safe approach to custody — ensuring client funds are always secure, segregated, and protected under UAE and VARA standards.
VARA-aligned
Proof‑of‑Reserves
Independent Audits
Segregation
Multi‑Sig
Cold/Hot
Asset Segregation
- Client assets are fully segregated from DHS Exchange’s own operating funds.
- Segregation ensures client holdings remain legally and operationally separate, protecting clients in the event of insolvency or operational disruption.
Custody Model
- Institutional-Grade Custodian Partnership: DHS Exchange partners with Hextrust, a licensed digital asset custodian regulated in the region, to safeguard client crypto assets.
- Cold Wallets: Majority of assets stored in Hextrust’s multi‑signature cold wallets, offline and secure.
- Hot Wallets: Limited portion held for liquidity and fast withdrawals, monitored continuously.
- AED Custody: Fiat deposits safeguarded through regulated banking partners in the UAE.
Security Framework
- Multi‑Signature Authorization: Withdrawals require multiple approvals.
- End‑to‑End Encryption: All custody operations use strong encryption.
- 24/7 Monitoring: Infrastructure monitored for fraud, anomalies, and cyber threats.
- Independent Audits: Periodic third‑party audits for assurance.
Direct. Honest. Safe.
Insurance & Risk Management
Coverage and contingency planning to protect custodial assets.
- DHS Exchange, together with Hextrust, is establishing insurance coverage for custodial assets, protecting clients against theft or cyber breaches.
- Risk management processes include stress‑testing and disaster recovery planning.
Client Rights
Ownership, access, and proper use of funds.
- Clients retain full ownership of their assets at all times.
- Withdrawal requests are honoured in accordance with AML/KYC requirements and VARA regulations.
- DHS Exchange does not use client funds for lending, investment, or operational purposes.
Commitment to Transparency
Public disclosures and attestations.
- DHS Exchange will publish regular proof‑of‑reserves reports and independent attestations as part of our transparency initiative.
- Updates will be made available in the Public Disclosures section of the website.
Next disclosure cycle: Quarterly
Have questions about our custody framework? Explore our Public Disclosures.