BitGo

This is the approved revision of this page, as well as being the most recent.
BitGo - Making digital currencies usable for business

BitGo is a Blockchain security company.[1] It is headquartered in Palo Alto, California. It was founded in 2013 by Mike Belshe[2] and Ben Davenport. The company operates a security-as-a-service platform that powers their online Bitcoin wallet and enterprise solutions for corporate treasury and key management.

Contents

HistoryEdit

Initially, The BitGo wallet was conceived as a cryptocurrency wallet exclusively for bitcoins, but with the development of altcoins, they chose the very first of them – Litecoin. And after the hard fork of bitcoin associated with SegWit, he began to support Bitcoin Cash.

BitGo was founded in 2013.

On June 16, 2014, BitGo raised $12M led by Redpoint Ventures. [3]

ServicesEdit

How to Use BitGo to Send or Receive Altcoins

The company offers a multisignature bitcoin wallet service. In January 2015 BitGo announced the general availability of their Platform API, allowing developers to fully leverage the enterprise grade security features of BitGo's multisig HD wallet in their own applications.[4] The following month the company bought an insurance policy from XL Catlin against theft from its wallets.[5] The February 25, 2015 BitBeat column from The Wall Street Journal described the policy as "a first for the digital currency industry that could pave the way for companies to provide greater assurances to customers that their bitcoins are safe."

In June 2015 the company launched the Verified by BitGo program, a "proof of reserve" service for bitcoin companies. In October 2015 the company published an open protocol for sharing keys between bitcoin service companies called the "Key Recovery Service".[6] In October 2017,BitGo added Civic‘s know-your-customer (KYC) services to its Royal Mint Gold (RMG) wallets.[7]

Bitcoin cryptocurrency wallet uses several signatures and various keys for transactions, almost all of which are at the user's disposal. At the same time, even a novice can easily understand the principle of the application – a clear interface and simple options will help. Bitcoin cryptocurrency wallet is used for storing and carrying out operations with bitcoins. So what distinguishes it from other similar programs, and why should you make your choice in favor of this particular client? The answer to these questions you will read in the review below.

FundingEdit

In June 2014 the company received US $12 million in venture capital funding led by Redpoint Ventures.[8]

AdvantagesEdit

BitGo mechanism

The user who made the installation of the wallet BitGo, will receive the following:

  • ability to share funds control-the application requires the user to confirm each transaction, that is, a backup copy of the BitGo wallet or an operation signed by you will allow you to establish full control over your funds;
  • two-factor authorization-you can use the application even in an unsecured online environment and not worry about the safety of your bitcoins, because to break into your account an attacker will need to access several devices at once, which is almost impossible;[9]
  • high level of confidentiality - storage of bitcoin cryptocurrency in the wallet BitGo eliminates the possibility of surveillance of your money transactions. The developers of the application have tried and made the process of tracking * your balance and addresses very difficult and lengthy. Important: when making a payment request, use the new address;
  • the possibility of the application using the virtual tunnels – BitGo wallet works well with Tor and the use of such actions extensions. A secure and anonymous channel will allow you to perform the necessary transactions, providing * an additional level of protection against intruders;
  • a dynamic package of proposals for commissions – the system will offer you the optimal amount of a fee for each transaction that will allow you to avoid overpayments.[10]

Bitcoin wallet BitGo is one of the most popular programs for operating bitcoins in the network. If you are still worried about the safety of their funds, it is not necessary – the system requires three keys to confirm the operation, two of which are stored with you, and the third – on the server. Moreover, you should use multi – signature and anti-phishing protection-this greatly improves security.

DisadvantagesEdit

Against the background of the many advantages of the client BitGo its disadvantages are minor, but you also need to know about them:

  • the need for centralized support means that you must contact a third party to confirm payments. Well, if it is, a third party will not simulate or hide the operation;
  • remote work-the BitGo wallet is downloaded from a remote server. Every time you use the application, you have to entrust your funds to developers, even for a while. To reduce risk and improve security it is recommended to use a * special extension;
  • the absence of the Russian version;[11]
  • the absence of the mobile version of the client in the classic version.

Bitfinex HackEdit

On August 2, 2016, more than $60,000,000 worth of bitcoin was stolen from Bitfinex, one of the world's largest digital currency exchanges. Announced in 2015, Bitfinex and BitGo created a system whereby multi-signature wallets, those where keys are divided among a number of owners to manage risk, would be provided to each customer. The companies sought to find an alternative to the standard process used by exchanges at the time that saw customer funds co-mingled in larger offline wallets and connected or "hot" wallets used to meet liquidity demands. Rather, each Bitfinex user has their own set of keys created on the platform, using a 2-of-3 key arrangement whereby Bitfinex held two of the keys (including one offline) and BitGo used the third to co-sign transactions.

In order to withdraw such a large amount of funds, BitGo would likely have had to sign off on those transactions.

FeaturesEdit

  • Uses P2SH (BIP 16)
  • N-of-M Multisignuare Wallet

External linksEdit

See alsoEdit

ReferencesEdit


Licence.png