BitGo, the leading bitcoin security platform, announced its Verified by BitGo proof-of-solvency service. Immediately adopted by micropayment service ChangeTip, BitGo’s Verified by BitGo product provides a real-time view of bitcoin assets, quickly and easily assuring ChangeTip’s customers and partners of adequate funds. Any company using BitGo’s class leading security platform can adopt and use Verified by BitGo to safely and securely provide complete financial transparency.
ChangeTip, the popular service for sending ‘tips’ via social media, email or text message to express appreciation for quality internet content or services, will use Verified by BitGo to allow customers to easily demonstrate solvency of their accounts, enhancing trust and confidence in the service.
“BitGo’s mission is to help make the bitcoin ecosystem more secure, and we’re now excited to be taking the next major step in that direction,” said BitGo CTO and co-founder Ben Davenport. “Today we are launching our Verified by BitGo service, bringing the era of unverified funds to a close.”
Prior to the introduction of Verified by BitGo, Bitcoin businesses and operations were not able to provide a public, trustless verification that they were operating in a solvent state. Past funds verification attempts included periodic movement of coins or manual signing messages, but these steps proved cumbersome and often opened new security and privacy risks.
The Verified by BitGo service offers transparency as a service, allowing any business to easily show its assets and cryptographically prove that it is operating in a solvent state. Now, end users of any business using the service can view that the company’s assets are greater than its liabilities, and verify that his or her account is included in the total liabilities. Verified by BitGo is the equivalent of a publicly accessible audit that provides transparency and security, demonstrating that the sum of all user accounts is equal to or less than its total assets.
“Building trust is critical to expanding our user base within the bitcoin community and beyond, and using BitGo to demonstrate our Proof of Reserves goes a long way to achieving it,” said ChangeTip CEO Nick Sullivan. “We believe that the combination of digital currencies and social payments across multiple social platforms will pay off the long-held promises of micropayments; ChangeTip is ideally positioned to deliver on that promise.”
A primary Bitcoin security pioneer, BitGo has created a complete suite of products suitable for securing any Bitcoin operation or transaction. BitGo’s multi-sig wallets protect both private and institutional holdings in either hot or cold storage. A series of corporate management tools allow enterprises to complete any institutional treasury function with complete security and control. A highly flexible and scalable API offering allows established or startup Bitcoin operations to easily and rapidly build out services protected by the most highly regarded security infrastructure in the Bitcoin industry. Additionally, BitGo has partnered with C4 to introduce the CryptoCurrency Security Standard, a template for certifying the 10 fundamental aspects of cryptocurrency security. BitGo also introduced first-of-its-kind comprehensive insurance coverage for bitcoin theft from the global, A-rated XL Group insurance companies, offering a baseline $250,000 protection for all commercial customers, and is pioneering a variety of proof-of-reserve products suitable for exchange, trading desk, and retail use.