Crypto custodian services, BitGo, announced the launch of its staking service, which offers up to 13% annual returns.
Based on the press release, customers whose assets are with the custodian service BitGo Trust can enjoy the benefits. Thus, they can earn passive income while their assets remain in a secured and insured cold storage. The rate of return will depend on the coin: it spans between 7 percent to 13 percent for Algorand.
Additionally, BitGo Staking supports Dash (recently in the spotlight) and Algorand, there are plans to include additional coins this year.
CTO of the company, Ben Chan, commented on the development. He said: “To be a great custodian, we need to help clients use their assets in custody. Staking provides our clients with returns on their investments without ever moving their assets out of custody.”
CEO of Dash, Ryan Taylor said: “Building trust in cryptocurrency is a shared mission between BitGo and Dash. This led to our partnership last year, our support in BitGo Staking builds on this relationship. Accordingly, it provides additional ways to derive value from Dash in a safe and secure environment.”
COO of Algorand, W. Sean Ford, had some words also. “By providing custodianship services with multi-sig security and new staking opportunities, the partnership adds more opportunities to participate in the Algorand ecosystem,” he said.
BitGo also announced the acquisition of Hedge, a top company in scalable, programmatic deployment of staking infrastructure. Besides, the acquisition forms the bedrock of BitGo Staking.
What do I stand to gain?
BitGo Staking service offers several attractive benefits.
First, the best-in-class security architecture makes each node runs on its dedicated virtual machine. Thus, a client’s node cannot access other nodes or infrastructure.
Second, keys don’t go online as the seamless integration with BitGo Custody keeps assets in cold storage.
There is a multi-signature technology, which is the industry standard for institutional investors. Besides, it’s possible to choose staking providers.
Finally, custodial assets are insured for up to $100 million.
To remind, the U.S. crypto custody service, announced its support to provide wallet and custody support for Tron.