Fidelity backed Fireblocks announced Tuesday that it will now secure the flow of digital assets for Celsius Network. With this enlisting, Fireblocks, the digital asset cybersecurity startup, is expected to witness explosive growth. And that is because Celsius has an active presence in over 150 jurisdictions across the globe.
As a crypto lending giant, Celcius saw an auspicious 2,165% growth in deposits in just one year. And is forging towards further growth.
Besides, it has already surpassed $4.25 billion crypto loan origination this month. However, by utilizing Fireblocks’ hot wallet solution, Celsius intends to lend out more. And that’s without compromising the security of the assets.
Moreover, Celsius uses a very complicated interest generation algorithm. It requires a constant movement of digital assets between hot and cold storage. Fireblocks’ enterprise-grade security will ensure the highest degree of security for this movement.
According to it, Celsius plans to utilize the console and robust APIs for the security of digital assets worth $400 million and 53,000 active wallets. Fireblocks’ security protocol uses MPC technology to eliminate the theft of private keys. And additionally prevents data leaks pertaining to credential/API keys and deposit addresses. In view of this update, the retail customers of the crypto lending platform will enjoy enhanced security for interest-earning accounts. And institutional customers will have faster and safer access to funds.
Celsius CEO Alex Mashinsky stated it will continue using Prime Trust and BitGo custodial services. However, with the increasing needs of constantly moving digital assets for its institutional clients, it is enlisting the services of Fireblocks. Accomplishments of Fireblock seem to have impressed Celsius. That said, Fireblocks is currently responsible for 1% of the total daily transaction volume of the top 10 digital assets.
Previously, we covered how Bakkt opened its custodial wallet services to any institutional client.