BitGo, Coinbase confirm on serving institutions in crypto space
Though investors are having a hard time investing bitcoins this year, companies are setting up protection that would probably help in speeding up crypto adoption. BitGo and Coinbase will continue to pave way for the increased demand for bitcoin from institutional investors by operating as trusted custodians.
Mike Belshe, BitGo CEO stated that the crypto market needs new capital to begin a new mid-term rally and well recover from its 80 percent correction in 2018.
He stated that there aren’t any new buyers blooming in the past eight months. But with BitGo and Coinbase’s handful of crypto custody solutions along with regulated financial institutions such as Goldman Sachs, Morgan Stanley, Citi, a lot of money is to hit the Bitcoin market.
“What Bitcoin needs is fresh capital coming in, so we haven’t seen a lot of new buyers coming in. So to the extent that Wall Street represents that, yes, Bitcoin needs that, and I can tell you anecdotally that the institutional herd is starting to move their feet a little bit, but they have been taking much longer than I expected… This is making me much more optimistic, and this may be the solution that institutional investors have been waiting for,” said Mike Belshe.
BitGo, on Thursday, received a state trust company charter from the South Division Banking of Dakota. As of now, it is the only regulated custody offering built for storing digital assets.
Many others vying to offer crypto custody solutions
There are few other companies that are planning to do custody offerings like Gemini, Ledger, ItBit, Nomura, and Northern Trust.
With a boom in crypto custody solutions, Mike Belsche was, therefore, being optimistic about the Bitcoin market.
As reported earlier by BC Focus, BitGo said that they will expand its suite of custody products and services to support 57 new Ethereum assets.
With this kind of expansion, BitGo might well be on top of the crypto custodian solutions.
Image via Shutterstock
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