Onramp, BitGo introduce latest iteration of crypto custody
The post Onramp, BitGo introduce latest iteration of crypto custody appeared on BitcoinEthereumNews.com. Bitcoin asset management platform Onramp is teaming up with BitGo as part of the latest bid to ease the mind of institutional allocators by improving crypto custody. Designed to avoid a single point of failure, Onramp’s multi-institution custody product seeks to bring more institutional investors, financial intermediaries and high-net-worth individuals into the crypto realm. The offering divides key-holding responsibilities to three institutions: BitGo Trust, Kingdom Trust and Coincover. Two of the three keys are needed to move the funds at the direction of the end client. “Investors, whether they admit it or not, have wanted exposure to the best performing asset of the past decade — just not at the cost of their careers,” Onramp CEO Michael Tanguma told Blockworks. Different types of “collaborative custody” solutions exist, such as offerings by Casa and Nunchuck, Tanguma acknowledged. But Onramp seeks to differentiate from those providers by working with multiple financial services firms that have their own custody process, onboarding and client authentication designed for institutions, he noted. “Onramp is only ever legally able to unilaterally participate in the way we sign a transaction, preventing us from ever being able to move client’s funds without their explicit request and authentication with one of the other key holders,” Tanguma said. BitGo, others continues custody push Institutional investors have searched for a better way to custody crypto after instances of exchanges not being able to meet client withdrawals, according to Tanguma. About 38% of respondents of a January survey by Bitwise and VettaFi cited custody concerns as something preventing them from starting to invest, or increasing an investment, in crypto assets. Onramp’s new custody tool is powered by BitGo — a digital asset infrastructure provider not new to this segment. The company’s founder, Mike Belshe, started working on bitcoin multi-sig technology a decade ago,…
The post Onramp, BitGo introduce latest iteration of crypto custody appeared on BitcoinEthereumNews.com.
Bitcoin asset management platform Onramp is teaming up with BitGo as part of the latest bid to ease the mind of institutional allocators by improving crypto custody. Designed to avoid a single point of failure, Onramp’s multi-institution custody product seeks to bring more institutional investors, financial intermediaries and high-net-worth individuals into the crypto realm. The offering divides key-holding responsibilities to three institutions: BitGo Trust, Kingdom Trust and Coincover. Two of the three keys are needed to move the funds at the direction of the end client. “Investors, whether they admit it or not, have wanted exposure to the best performing asset of the past decade — just not at the cost of their careers,” Onramp CEO Michael Tanguma told Blockworks. Different types of “collaborative custody” solutions exist, such as offerings by Casa and Nunchuck, Tanguma acknowledged. But Onramp seeks to differentiate from those providers by working with multiple financial services firms that have their own custody process, onboarding and client authentication designed for institutions, he noted. “Onramp is only ever legally able to unilaterally participate in the way we sign a transaction, preventing us from ever being able to move client’s funds without their explicit request and authentication with one of the other key holders,” Tanguma said. BitGo, others continues custody push Institutional investors have searched for a better way to custody crypto after instances of exchanges not being able to meet client withdrawals, according to Tanguma. About 38% of respondents of a January survey by Bitwise and VettaFi cited custody concerns as something preventing them from starting to invest, or increasing an investment, in crypto assets. Onramp’s new custody tool is powered by BitGo — a digital asset infrastructure provider not new to this segment. The company’s founder, Mike Belshe, started working on bitcoin multi-sig technology a decade ago,…
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