Safekeeping

Safekeeping is the act of keeping something secure and protected from loss, theft, damage, or deterioration. It applies to physical items such as valuables, documents, and heirlooms, as well as digital assets and financial instruments. The objective is to preserve value and ensure controlled access over time.

In everyday use, safekeeping ranges from personal storage in a home safe to formal arrangements by financial institutions. Banks and custodians offer safekeeping services for valuables, securities, and documents, including safekeeping receipts and insured storage. In law, safekeeping can refer to the custodial duties that accompany possessions entrusted to another party.

Best practices include accurate inventory, clear labeling, and a documented chain of custody; secure physical storage with appropriate access controls, surveillance, and environmental protections; and regular insurance coverage. For digital assets, safekeeping emphasizes backups, encryption, key management, multi-factor authentication, and disaster recovery. Safekeeping agreements outline responsibilities, liability, and procedures for transfer, return, or replacement of items.

Risks include theft, loss, damage, misplacement, and regulatory or fiduciary liabilities. Standards and requirements vary by asset type and jurisdiction, but reputable custodians typically implement audits, insurance, and formal dispute-resolution processes to support trustworthy safekeeping.