BitGo to offer cryptocurrency staking platform
The financial services provider acquires a staking company as it expands its operations
Cryptocurrency “hodlers” will soon have a new way to try to get rich quick. BitGo, a cryptocurrency financial services provider, has announced the acquisition of a startup called Hedge, which has broken into the staking infrastructure market. With the purchase, BitGo Staking is born and crypto fans will now be allowed to take staking positions in an effort to make larger gains with their holdings.
Clients of BitGo Trust will be able to earn passive income with the funds held by the custodial company. It supports both Dash and Algorand, and other digital currencies will be added later this year. BitGo didn’t provide more details on the financial ramifications of the holdings, stating simply that the return for Algorand could range from 7-13%.
In a press release about the acquisition, BitGo Chief Technology Officer Ben Chan states, “In order to be a great custodian, we need to provide our clients with the ability to use their assets in custody. Staking provides our clients with returns on their investments without ever moving their assets out of custody. Our acquisition of Hedge builds on the blockchain and staking expertise within our engineering platform to deliver an automated, end-to-end staking service.”
The CEO of Dash Core Group, Ryan Taylor, adds, “Building trust in cryptocurrency is a shared mission between BitGo and Dash, which led to our initial partnership last year. Dash support in BitGo Staking builds on this relationship and provides additional ways to derive value from Dash in a safe and secure environment. We’re thrilled to be a part of BitGo Staking’s inaugural launch and expect masternode owners will be as well.”