Onramp, a bitcoin asset management company, has officially announced the launch of its new multi-signature custody platform. In an era where the way bitcoins are stored and managed becomes crucial, Onramp offers an innovative solution that promises to set a new standard in the industry.
Traditional methods of storing bitcoins have posed a major dilemma for both institutions and individual investors. While some prefer the self-custody approach due to its direct control, many are wary of its technical complexities and potential security issues. On the other hand, centralized custody options carry their own set of risks.
To bridge this gap, Onramp has partnered with BitGo, Coincover, and Kingdom Trust to offer a solution that aims to combine the best of both worlds. Its approach aims to serve institutional allocators, financial intermediaries and high net worth individuals by offering a custody solution that minimizes trust. In doing so, they aim to eliminate the traditional single points of failure that often arise when entrusting custody to one entity.
A core element of Onramp’s strategy is its multi-institutional custody solution. By leveraging bitcoin‘s proven multi-signature capabilities, they have established institutional-grade vaults that are controlled by three distinct institutional keyholders: BitGo Trust, Kingdom Trust, and Coincover. Accessing the funds in these vaults requires authorization from at least two of the three keys, ensuring that no entity has unilateral control over the assets.
BitGo, Inc., is a leader in digital asset infrastructure and the company brings a wealth of experience. Kingdom Trust has the distinction of being the first qualified custodian to handle bitcoins and Coincover is recognized as a blockchain protection company. Onramp’s multi-institutional custody solution leveraging multisig ensures that while the company works with top-tier entities in bitcoin custody, the trust required for each institutional keyholder is minimized.
This solution comes at a time when many institutions have been hesitant to trust their bitcoins to a single custodian. With Onramp’s offering, the challenges that come with traditional bitcoin custody methods are eliminated, making it easier for institutional capital allocators to access the cryptocurrency.
In addition to its flagship custody offering, Onramp also has a suite of products and services tailored to various investors. From its bitcoin Custody service, which helps new and existing bitcoin holders, to its bitcoin Fund that enables traditional investment access to bitcoin, Onramp’s goal is to provide solutions that combine the inherent properties of bitcoin with the benefits of institutional level custody.
