Losing access to digital assets is a genuine concern for users. And as the cryptocurrency market matures, security and risk management are becoming increasingly important for customers and regulators alike. It is in light of these founded concerns that BitGo announces its latest collaboration with Coincover.
BitGo, the US-headquartered digital asset company providing regulated custody, staking and trading services, is now ensuring its institutional users with the ability to recover wallet data in the event of lost access through its collaboration with Coincover, the cryptocurrency insurance-backed technology that offers protection of digital assets from hacks and human error.
This latest manoeuvre by BitGo will see its clients’ recovery data stored with the third-party custody provider, and with this, should they lose access to their wallet keys, data recovery can be guaranteed.
Given that the cryptocurrency market is becoming increasingly, and concerningly, synonymous with asset volatility and the famous phrase ‘capital at risk’, this partnership intends to apply lessons learned from recent events to create an industry standard of digital asset protection.
Ultimately, this will benefit BitGo’s clients, as they will gain a more comprehensive understanding of the security risks associated with cryptocurrency wallets. Once a business has decided what kind of wallet setup is optimal, Coincover will provide a trusted backup and recovery solution to alleviate the risks of the business having to determine that for themselves.
“Given how much deposit safety is top of mind right now, this partnership is one step forward for holders of digital assets, as it aims to provide an industry standard of digital asset protection,” comments Oliver Cummings, strategic partnerships director at Coincover. “This will help inform BitGo’s clients about the security risks of digital assets and build trust to encourage mass adoption.”
‘There is no such thing as too secure’
This latest announcement isn’t the first time the two companies have worked together, with BitGo’s association with Coincover stretching all the way back to 2019 with the launch of Coincover’s Cryptocurrency Wills crypto-insurance product.
The product promoted the safe storage and secure access of cryptocurrency and digital assets, and now four short years later, the duo are reconfirming their commitment to providing a new standard of security to an industry that’s traditionally anything but secure.
“Security has always been critical to us,” states Gavin Kip, senior security product manager at BitGo, “but we are constantly looking for ways to improve.”
“There is no such thing as too secure. That’s why we have elevated our relationship with Coincover, to integrate the option of storing backup keys with Coincover for all BitGo’s coin offerings,” he continues.
“Their technology is unparalleled when it comes to security and acts as a failsafe against disaster situations in case we – or one of our clients – fail in some way. It is a valuable additional layer to our security and will ensure we maintain our reputation as the best and safest place to store digital assets,” concludes Kip.
