Coincover launches Protected Co-Signing for ultimate transaction protection
The new service will provide financial institutions with the safest way to transact bitcoin currently available
Today we announce the launch of our Protected Co-Signing product to further reduce the risk in digital asset transactions.
The new service adds an additional layer of protection onto the existing co-signing model within digital asset custody. While the emergence of multi-sig wallets allowed different parties to share custody and reduce risk of loss from disaster scenarios, the addition of Coincover’s proprietary technology into the co-signing model further reduces the risk of transacting digital assets.
Working closely with our partner Onramp, Coincover's implementation of this technology will automatically screen transactions for any of its security risks, such as cases of fraud or hacking. However, the solution also provides a failsafe by applying Coincover’s insurance-backed warranty to transactions. It is therefore an extremely secure way to sign transactions.
Bitcoin’s history is peppered with examples of custodial problems and cases of loss, whether caused by misplaced private keys, fraud, or an exchange hack. These instances have deterred investors and prevented large pools of capital from entering the space.
The unique properties of private keys used in the signing of cryptocurrency transactions, mean that there are risks involved in digital asset custody that can lead to funds being lost forever. Custody models which trust a single entity to sign transactions, such as single-institution custody or self-custody, can result in a single point of failure.
Onramp, pioneers of Multi-Institution Custody for Bitcoin, is the first Coincover partner to bring this offering to life, ensuring that their customers immediately benefit from extra layers of security. The solution, however, is available to all custody platforms that use key material distributed between multiple entities to sign transactions.
“This is another step forward in the evolution of digital asset custody. As transactions have developed over the years, certain industry pioneers have created ways to make cryptocurrencies safer to hold and transact. Now, we’re taking this to the next level. Our aim is to encourage greater trust in digital assets at the institutional level and protected co-signing provides the ultimate layer of protection so that – even if something goes wrong – there is a safety net, allowing institutions to engage with cryptocurrencies with confidence.”
Alex Saleh, Head of Partnerships, Coincover
"Multi-institution custody is exciting because we believe it unlocks trillions of dollars in capital that has historically been waiting on the side-lines to get exposure to the best performing asset of the last decade. By incorporating fault tolerance and redundancies via multiple world class institutions, clients can now get exposure to bitcoin and not risk their investment going to zero if they choose the wrong counterparty. Protected Co-Signing is the next evolution of multi-institution custody, by incorporating additional assurances by way of Coincover’s proprietary risk engine, key signing, and Lloyd's of London relationship, we can now layer in insurance to already best in class enterprise custodial solution"
Michael Tanguma, Co-Founder and CEO, Onramp
Although the new service is currently only available for bitcoin transactions, Coincover will be expanding the service to cover other key cryptocurrencies in the months to come.
About Coincover
Blockchain technology is changing everything. However, it brings its own set of unique risks. Coincover exists to ensure everyone is protected, enabling them to innovate freely, without constraints.
Coincover provides a complete blockchain protection solution, addressing the most significant barrier to mainstream adoption: trust. Our protection solutions ensure that access and assets are never lost.
Founded in 2018, Coincover is backed by leading fintech and blockchain investors. Today, we help over 350 of the biggest names in blockchain, including Fireblocks, BitGo, and Ledger, protect themselves and their customers from theft, hacking, and human error.
Visit www.coincover.com for more information.
About Onramp
Onramp is a bitcoin asset management platform built on the foundation of Onramp Multi-Institution Custody. This unique and differentiated custody model allows Onramp to offer a full suite of products and services, tailored for the needs of HNWIs, financial intermediaries, and institutional allocators.
Onramp combines the best of a Bitcoin financial service company with traditional finance experience. Our team hails from Coinbase, Google, BitGo, Bain & Company and we are advised by professionals with tenures at organizations including BNY Mellon, Blackstone, Greenlight Capital, and Deutsche Bank.
For more information, visit: onrampbitcoin.com