1. Separation of Assets (Asset Segregation)
Pionew Ireland Limited (PIL) maintains a strict segregation between your assets and our corporate funds.
- Your Crypto-Assets: All crypto-assets held by PIL on your behalf are recorded in segregated accounts (wallets). These assets are distinct from PIL’s own digital assets and are not available to PIL’s creditors in the event of insolvency.
- Your Fiat Funds: All client fiat funds (e.g., EUR) are held in designated “Client Asset Accounts” with regulated credit institutions within the EEA (primarily Banking Circle S.A.).
2. How Your Funds are Protected
In accordance with MiCAR requirements, PIL employs the following safeguarding methods:
- Trust/Segregated Accounts: We do not commingle client funds with our own. Your money is held in professional accounts where it is legally recognized as belonging to the clients.
- No Re-hypothecation: PIL is strictly prohibited from using your crypto-assets or fiat funds for its own account, including lending, staking (unless explicitly instructed by you), or as collateral for corporate financing.
3. Custody & Security Technology
To ensure the integrity of your holdings, PIL utilizes institutional-grade security:
- Multi-Party Computation (MPC): We use MPC technology to distribute private key shards across multiple secure environments, ensuring no single point of failure or unauthorized access.
- Cold Storage: The vast majority of client crypto-assets are kept in offline “Cold Wallets” to mitigate the risk of cyber-attacks.
4. Risk Disclosure
While PIL takes extensive measures to safeguard your assets, you should be aware of the following:
- Market Risk: Safeguarding refers to the physical/digital security of the asset, not its market value. Crypto-assets are volatile; PIL does not guarantee the value of any asset.
- Insolvency: While assets are segregated, in the event of a global liquidation of a partner credit institution (bank), the return of fiat funds may be subject to the deposit guarantee schemes or insolvency laws of the relevant jurisdiction.
5. Independent Oversight
PIL’s safeguarding arrangements are subject to regular internal audits and periodic reporting to the Central Bank of Ireland (CBI) to ensure ongoing compliance with the highest regulatory standards.