With an aim of wooing more users to its network, BitGo has added one more Stablecoin to its list if offers. This is an attempt to widen the number of BitGo clients and also encourage more Crypto investors particularly institutions to acquire Stablecoins.
In a press release to CoinDesk, the Crypto custodial service provider revealed that the network will from now henceforth be accepting Winklevoss brothers’ Gemini dollar (GUSD), as the latest Token which is now the hundredth and first Token.
Circle’s Circle USD (USDC) was incorporated on November 6th. Other Cryptocurrencies such as TrustToken’s True USD (TUSD), Paxos’ Paxos Standard (PAX), MakerDAO’s Dai, have been accepted by BitGo over the last 6 months.
Stablecoins Are Less Volatile
Stablecoins are Cryptocurrencies that are secured against tangible resources. These backups include; US Dollars, Euros, Gold, Oil, Diamonds, Property, or even stocks. The essence of backing up Digital Asset is to give them an intrinsic minimum value that cannot be eroded by volatility shocks that often plague Crypto markets such as the ongoing Bitcoin Cash fork crisis that has wiped off 15% of Digital market’s market capitalization.
In the current bear markets, observing Coinmarket cap data shows that stablecoins such as Tether (USDT), that is backed up against the US Dollar is more stable having lost a paltry 0.52% in the last 24 hours. For this reason, Stablecoins are being released on almost a weekly basis.
BitGo Is Reacting To Stablecoins Demand
BitGo’s product technical manager Isaac Eleftheriadis revealed that internal records of the company indicate that there were many API requests between October 9 and November 9. In that period, there were 28,894 API requests for Dai, 137,649 for USDC, and 151,768 searches for TUSD. Majority of the traffic inquiries was traced to Crypto exchange platforms that many users are acquiring their Digital Assets.
Eleftheriadis says that as long as there is an overwhelming interest on a Coin or a Token, BitGo will be striving to be the go-to platform for Crypto storage services.
Clarissa Horowitz, BitGo Vice President of marketing is assuring customers that the platform is reorganizing its business model to offer more solutions to Cryptocurrency holders. For instance, there has been an increase in institutional investors accounts to 300, doubling of staff to 100, and an increase in Cryptocurrencies to 101 from 8 in just under a year. The trend is slowly reshaping BitGo as a financial services company from a technology company.
BitGo is the leader in custodial solutions, compliance, and security for Blockchain-based currencies. According to the CEO of Bitstamp Nejc Kodric, BitGo has been investing in energy and time to bring the most competitive financial tools from conventional treasury management to the management of Digital Assets. Hence, BitGo can proffer quality products such as BitGo Crypto custody, BitGo Business Wallet, Self-Managed Storage, Proof of Concept (PoC) Private Blockchain customization, and BitGo Platform API. All these services are fundamental in safekeeping Cryptocurrencies not only for institutional owners but also for individual holders.