21st May, 2015, London – Elliptic, a full-service bitcoin custodian for the capital markets, has partnered with developer API provider Gem to further accentuate Gem’s offering of the world’s most secure multi-signature bitcoin wallets.
The most important part of holding bitcoin is safeguarding the private keys (or passwords) to the account. A typical multi-signature wallet has three unique private keys, two of which must be submitted before a transaction is authorised. In most situations the client is responsible for two of the keys and the wallet provider holds the third.
In the new partnership, Elliptic will act as a trusted and independent third party to provide insured storage of the third (backup) private key. Gem, Elliptic and the client will each hold one of the keys. If the client loses their private key, Gem and Elliptic will use their private keys to sweep funds into a new account. Distributing private keys across two trusted parties, and the addition of Elliptic’s insurance cover, provides clients with a higher level of security than can be achieved through a single multi-signature provider.
Quote from Gem on why this is significant for them and the bitcoin industry:
Gem CEO, Micah Winkelspecht said
“This is a major leap forward for multi-signature technology. Now clients can rest easy knowing that even if they lose their private key, they can rely on two independent parties to secure their assets. Elliptic is the most trusted name in private key storage and our tight integration means that there is no single point of failure for Gem’s multi-signature wallets.”
Rapidly growing fintech start-up Elliptic is already the trusted Bitcoin custodian for publicly listed trading firms, banks and exchanges, safeguarding their private keys in its enterprise-grade insured storage, through its Elliptic Vault service.
Elliptic CEO Dr. James Smith said,
“At Elliptic, our focus is on bringing bitcoin to the enterprise by developing secure and convenient products and processes. By combining Gem’s API platform with our insured and accredited key storage service, a new bar has been set for multi-signature wallet security and usability”
Elliptic is a full-service bitcoin custodian for investment funds, banks and exchanges, and is the only bitcoin custodian in the world to be both comprehensively insured by a Fortune 100 underwriter and accredited by a Big Four auditing firm. Its offerings include compliance products, exchange integration services and fully insured bitcoin storage. Elliptic is backed by Octopus Ventures . It is the founding member of UK Digital Currency Association (UKDCA) and is working with the UK government and financial regulators to help shape a sensible regulatory framework for digital currencies.
Gem, founded in 2014 by Micah Winkelspecht, makes Bitcoin easy by allowing developers to build feature-rich blockchain applications in minutes using less than ten lines of code.
The Gem API leverages a host of security features such as multi-signature wallets, multifactor authentication, and Hardware Security Modules to provide an easy to use, comprehensive security solution for Bitcoin apps, without ever taking possession of funds. Gem is located in Venice, CA.