Crypto Custodian And Wallet Provider BitGo Is Running 20% Of All Cryptocurrency Transactions
- BitGo’s CEO recently spoke at a panel during CoinDesk’s Invest: NYC conference.
- The CEO, Mike Belshe, believes that the multi-sig keys have a lot to do with the increase.
With thousands of transactions every day, Bitcoin is processed around the world by multiple exchanges and platforms. Recently, as BitGo attended the Invest: NYC conference by CoinDesk today, the company revealed that they were responsible for handling over 20% of Bitcoin transactions. The fact that BitGo takes on such a sizable share is a sign of both power and consolidation in the industry.
However, less positively, this portion of Bitcoin’s transactions creates questions about the potential for market collapse. For instance, if BitGo goes down, would the assets it moves be at risk? Mike Belshe, the CEO of BitGo, was asked this question directly during a panel called “The Shape of Things to Come: Crypto Custody in a Proof-of-Stake World,” assuring the public that they have nothing to be concerned about.
Belshe stated, “The big thing we do is try to remove single points of failure.” Clients hold the keys of the BitGo system, which features a multi-signature protective layer. Belshe stated that the growth of their transactions to this multi-sig security.
He added that clients have more confidence in their platform with the control over their assets, regardless of the circumstances of the platform. Clients, with this security protocol, see BitGo as a “trusted partner” that is constantly focused on improving the security of the digital asset market “every day.”
Recently, BitGo began investing in off-chain settlement systems, launching one of their own in May to target institutional clients.