Bank trustee and how it helps protecting crypto investors
A trust is essentially a relationship in which a person or party that owns assets called a trustor — Metain, gives the trustee the right to hold title to those assets or property for the benefit of a third party, called the trust beneficiaries — Metain’s crypto investors.
A trust might be created to provide legal protection for the assets of the trustor and to ensure that the assets are distributed properly. Trustees are trusted to make decisions in the beneficiary’s best interests and have a fiduciary responsibility to the trust beneficiaries.
A bank trustee is tied to a bank. They administer, manage the trustee assets. Bank trustees manage the investments of the trust assets by keeping them in-house.
A bank trustee is thus responsible for the proper management of all property and assets owned by the trust (Metain) for the benefit of beneficiaries (Metain crypto investors). A bank trustee’s specific duties are unique to the agreement of the trust and are dictated by the type of assets being held in trust. For example, a trust is comprised of various real estate properties, it will be the trustee’s duty to oversee those pieces of land.
The advantages of using a bank trustee include continuity, protection of funds, and controlling conflicts of interest.
All trustees have general guidelines and responsibilities, regardless of the specificity of the trust agreement. All assets must be confirmed as safe and under the control of the trustee. Any investable assets have to be considered productive for the future benefit of the beneficiaries.
Trustees must interpret and understand the trust agreement and be able to administer the distribution of any trust assets to the proper parties or beneficiaries. For example, Metain follows REIT to provide investment solutions for crypto investors. The bank trustee would be charged with honoring the specifics of the trust agreement, which includes the administration of specific property rights papers.
Trustees are also required to prepare any and all records on behalf of the trust. Trustees are expected to communicate with beneficiaries on a regular basis and keep them informed. This will be announced publicly on Metain and Bank trustee communication channels.
Finally, all trustees are considered the decision-makers for all matters of the trust and make those decisions based on the provisions outlined in the trust agreement. These matters include finding answers to any questions that beneficiaries may have prior to making the decision.
Bank trustee in the case of Metain
Metain follows the regulation of a trust (Real Estate Investment Trust), therefore it needs to give bank trustee the right to hold title to those assets or property for the benefit of its crypto investors.
It is the bank trustee's duty to manage all properties and assets, prepare any reports and make final decisions on those properties and assets according to the agreement.