BitGo is a digital asset financial services company that provides institutional investors with solutions that address issues such as consignment, security, and liquidity for the digital assets. Bitgo’s customers are scattered around the world, including large cryptocurrency exchanges in 50 different countries.

BitGo is the world’s largest on-chain bitcoin handling agency, which manages 15% of the entire global bitcoin transactions, that comprises roughly $15 billion in digital asset transactions per month. BitGo supports more than 100 coins and tokens and has AUM (Asset Under Management) exceeding $2 billion.

The agency has been established as a BitGo Trust Company in 2018, and became the first ever legitimate and qualified custodian for the digital assets. Among the renowned investors of the BitGo, you may find institutional investors such as Craft Ventures, DCG, DRW, Galaxy Digital Ventures, Goldman Sachs, Redpoint Ventures, and Valor Equity Partners.

Partnership with BASIC

▶ Digital asset storage solution

BitGo’s digital asset custodian services are operated by the government-approved BitGo Trust Company, which provides best in class security solutions for financial institutions. This includes multi-signature bitcoin wallet solutions, 100% cold storage technology, and SOC TYPE 1&2 certifications.

BitGo’s digital asset custodian services have the following characteristics:

● Storage of government-approved digital assets

● The largest range of asset choice

● Multi-user account services

● 100% cold storage technology 3rd grade bank security safety

● Quick account registration and 24-hour/7-day service availability

● Internal control system at the top level of financial institutions

The individual wallets of all users who use the BASIC platform, are provided by BitGo and further covered through digital asset insurance provided by British Insurance company Lloyd’s located in London, which can compensate for damage directly caused by loss from internal theft, loss caused by the third-party access or loss caused by the theft of private keys.

▶ Settlement and clearing solutions

The BASIC platform tries to cope with all the potential risks , that may be experienced by the users of the platform by undertaking the aforementioned actions. This pre-emptive risk management enables BASIC platform to protect its clients and build trust by maintaining a virtuous cycle in digital asset market.

▶ Counterparty risk

There are two primary sources of counterparty risk. The first one is when the counterparty does not pay, and the second one is, when the counterparty breaks the terms of the contract.

The relationship in the financial market is built upon a trust. Hence, the counterparty risk, aka default risk can result in overall deterioration of the credit market and further lead to a crisis.

▶ Slippage and Market risks

In case of carrying out transactions on multiple digital asset exchanges, you may face a huge issue of inefficient digital asset distribution, which can adversely affect your balance sheet. This situation can further expose you to the Slippage and Market Risk, as the number of assets that need to be liquidated increases. On the contrary, BASIC platform enables easy and quickly offline trading with trading partners inside Bitgo, through the virtual journal swaps. This practice, in turn, eliminates the slippage and market risks.

※ Slippage: The cost, which is incurred when the goods cannot be purchased at the desired price, due to a contract error that occurs during a sale order. In case of the slippage circumstances, you may not be able to enter in to the deal at a desired price or you may also suffer losses due to the fluctuations in prices when entering and exiting. This is due to the difference between the buying and selling prices in the market, to be precise due to the spread between the buy and sell prices.

▶ Compliance violation

Compliance violations may happen during the withdrawal of assets at the time of the transaction. Currently, majority of digital asset platform companies randomly distribute assets to multiple digital asset exchanges for trading purposes. In fact, this kind of approach affect the balance sheet and can lead to regulatory compliance violations. The BASIC platform is capable of reducing market and slippage risks, whilst keeping business efficiency at the highest level, by trading with trading partners within the BitGo’s system. This, in turn, will enable you to maintain stable transactions in a quite liquid market.