Digital asset security and liquidity provider, BitGo, revealed on Wednesday that it has launched an NFT hot wallet and custody solution for developers, retail marketplaces, and institutions. In collaboration with the decentralized lending and staking system Parallel Finance, BitGo is introducing the solution.
First US-Qualified Custody Solution
According to Chen Fang, chief product officer of BitGo, this is the first US-qualified custody solution that can be used with hot wallets. According to Fang, 700 institutional clients are currently served by BitGo. Through BitGo’s new wallet service, users can engage with decentralized markets like OpenSea and Looks Rare, much like MetaMask users can link their wallets. However, Fang claimed BitGo’s method is safer. Fang said,
“These people using MetaMask are using pretty insecure solutions to store hundreds of thousands of dollars, if not millions of dollars, of NFTs,”
“[They] will now have this amazing place to keep treasured possessions.”
24/7 Withdrawal Access and Support
Retail and institutional investors can receive, keep, and send NFTs via the hot wallet. According to Fang, similar to BitGo’s other cryptocurrency custody services, it employs multi-signature security and provides 24/7 withdrawal access and support. According to Fang, the market’s demand for more advanced services is reflected in the services’ expansion. Investors are beginning to assume more responsibility for the storage and security of their investments.
Fang said, “When there is an institutional investor that’s throwing in twenty or thirty million dollars or even $100 million worth of value and converting it into bitcoin, obviously you don’t want to keep it on single-signature wallets.”
“You don’t want to keep these assets on a non-air gapped internet-connected device, so this is where BitGo came into existence and, with our technology, welcomed institutional investment in this asset class,” he added.
Fang is sure that the NFT momentum will last in the long run, despite the recent fall in cryptocurrency markets.