June 25, 2024

BitGo will provide custodial services to the Indian exchange CoinDCX

BitGo will provide custody services to the Indian cryptocurrency exchange CoinDCX, offeringsecure storage of digital assets traded on the platform, and their partial insurance.

Last week, CoinDCX has already started translatingassets on BitGo wallets. Custodian service will ensure safe storage of funds on hot and cold wallets with two-factor authentication. Part of the cryptocurrencies traded on CoinDCX will be insured by BitGo in the amount of $ 100 million. The insurance will also cover user assets stored in CoinDCX lending service - DCXLend.

BitGo Chief Revenue Officer Pete NajarianNajarian) believes that due to the recent increase in trading volumes on Indian exchanges after the lifting of the country's Central Bank ban on banking services for cryptocurrency companies, user assets are especially in need of safe storage.

BitGo already provides custodial servicesexchanges Bitstamp and LGO Markets, and earlier this year the company opened regulated branches in Germany and Switzerland. The company also works with insurance broker Woodruff-Sawyer & Co in partnership with Paragon Brokers to provide flexible insurance coverage for client assets.

Co-founder and CEO of CoinDCX SumitGupta (Sumit Gupta) reported a significant influx of foreign investment in the Indian cryptocurrency market. CoinDCX received investments from Polychain Capital, Bain Capital Ventures, and HDR Global Trading, the owner and operator of BitMEX.

Gupta noted that in Q1 2020, trading volumes at CoinDCX increased by 47%, the number of new users increased 10 times, and the daily activity of traders increased by 150%.

However, he stated that even despite the decisionSupreme Court of India, the regulation of the cryptocurrency industry in the country remains “foggy”. It is still unclear how the latest technologies will be integrated into the traditional sector, and how their interaction will be regulated.