FAQ

1. What is a Bitcoin-only trust company?

A Bitcoin-only trust company is a financial institution that specializes in providing Bitcoin custody services. It ensures the secure storage and management of Bitcoin assets on behalf of customers, without exposing them to the risks of the broader crypto market.

2. Why is the separation of custody and exchange important in the Bitcoin sector?

The separation of custody and exchange is important in the Bitcoin sector as it helps enhance security and protect customers’ assets. By separating these two functions, the custodian can focus solely on providing secure storage and management of assets, while the exchange can focus on facilitating transactions and trading.

3. What are the benefits of the partnership between BitGo and Swan Bitcoin?

The partnership between BitGo and Swan Bitcoin brings together their expertise in regulatory compliance, fraud prevention, onboarding, AML/KYC requirements, Bitcoin cold storage technology, and overall Bitcoin knowledge. This collaboration aims to drive adoption of Bitcoin and support the innovators within the Bitcoin ecosystem.

4. How has BitGo been growing recently?

BitGo has experienced growth in its client base, assets under custody, staked assets, and fiat custody. Between January and August, BitGo saw a 60% increase in new clients, a 20% increase in Assets Under Custody (AUC), a 40-fold increase in staked assets, and a 200% rise in fiat custody.

5. What were BitGo’s previous acquisition attempts?

BitGo had a planned acquisition of Prime Trust, which was later canceled due to a cease and desist order from Nevada state regulators. Additionally, BitGo faced a failed acquisition attempt by Galaxy Digital Holdings, resulting in a lawsuit seeking $100 million in compensation.