Unchaineda leading provider of bitcoin financial services, has expanded its collaborative custody network with the addition of Coin Case, a company known for protecting and securing over 5 million crypto wallets, according to a press release sent to bitcoin Magazine. This move aims to bolster the security of Unchained’s collaborative custody product, which now secures more than $2 billion in bitcoin, representing a 37% year-over-year increase since October 2022.
Unchained, known for its multi-signature collaborative custody, serves institutional investors, corporate treasuries, governments and retail clients. This approach takes advantage of the decentralized capabilities of the bitcoin network, requiring a minimum of two private keys to access an account’s bitcoin holdings. This security measure is designed to mitigate the risks associated with single points of failure, a concern underscored by recent incidents involving custodians such as Prime Trust and Fortress Trust, lenders such as BlockFi and Celsius, and exchanges such as FTX.
“When considering a custody solution, we believe clients should ask themselves two fundamental questions: 1) What happens to their bitcoins if their company disappears? and 2) Can they move or access your assets without your knowledge and consent?” Joe Kelly said. co-founder and CEO of Unchained. “We believe current solutions are not a great answer to both of these questions and are excited to advance the industry with more robust delegated custody solutions.”
The addition of Coincover to the Unchained network strengthens custody by further decentralizing keys, ensuring investors maintain full control over their bitcoin holdings, making them immune to attacks and exchange crashes. With Coincover and Kingdom Trust as custodian partners, Unchained aims to protect customers’ bitcoin against issues such as rehypothecation or single points of failure such as hacks or company bankruptcies.
Dhruv Bansal, co-founder and CSO of Unchained, stated: “In a world where bitcoin is worth $1,000,000 per coin, will the largest stakeholders in bitcoin continue to singularly trust a single custodian?”
Unchained says it plans to continue expanding its collaborative escrow network by partnering with additional firms while also offering options where customers maintain control of their private keys.
