BitGo has introduced a new solution to revolutionize how protocols handle token distribution, custody, and liquidation.
BitGo claims that the Token Management platform provides an automated procedure that companies and protocols can use to simplify their digital assets.
Top protocols, including Worldcoin, Sui, and LayerZero, already benefit from the solution, according to a press release from BitGo that was shared on September 16.
Projects can use the end-to-end solution for token vesting, liquidity management, token unlocks, and on-chain activities like staking rather than having a disjointed system to serve stakeholders.
According to BitGo, their service gives projects access to an insured, compliant platform that offers its competent custodian standards to the fragmented market.
21Shares picked BitGo for ETFs custody
A few days after digital asset exchange-traded fund producer 21Shares selected BitGo as a custodian for its U.S. Spot ETFs, the one-stop portal for managing crypto assets was launched.
BitGo will act as the custodian for the Core Ethereum ETF and the 21Shares ARK Bitcoin ETF. Following the U.S. Securities and Exchange Commission’s approval of spot Ethereum ETFs in July and spot Bitcoin ETFs for trading in January, ARKB and CETH both debuted in 2024.
With the introduction of 21Shares, BitGo’s position in the cryptocurrency exchange-traded fund (ETF) market has increased. BitGo offers custody services for Hashdex and Valkyrie ETFs.
WBTC and launch of competing tokens
Additionally, BitGo is the custodian of Wrapped Bitcoin, a token tied to Bitcoin, and enables holders of BTC to participate in DeFi.
WBTC has received some unfavorable press lately. This comes after BitGo declared that it would be expanding WBTC custody in collaboration with BIT Global, a Hong Kong-based company connected to Justin Sun, the founder of Tron (TXR).
In the midst of this discussion, Sky, formerly MakerDAO, thought about discontinuing WBTC, while Coinbase first teased cbBTC before launching its version. It’s interesting that 21Shares also unveiled 21BTC, a wrapped Bitcoin.
