Valkyrie Teams Up with Bitgo to Safeguard Trust's Bitcoin Holdings and Provide Custodial Services

Valkyrie Chooses Bitgo for Custodial Services

Cryptocurrency asset manager Valkyrie Digital Assets has announced that it has selected Bitgo to provide custodial services for its spot bitcoin exchange-traded fund (ETF). Coinshares-acquired Valkyrie stated that Bitgo will be responsible for the custody and safekeeping of the Trust’s bitcoin holdings. Bitgo, based in Nashville, will oversee the funds of Valkyrie’s spot bitcoin ETF, which was launched recently along with a revamped bitcoin trust managed by Grayscale. The contract requires Bitgo to maintain an insurance policy that covers risks such as duplication or theft of private keys, internal theft or fraud, and loss of keys. Coinbase Trust Company, the current custodian, will continue to be used by Valkyrie.

Growing Distribution of BTC ETFs

Valkyrie’s collaboration with Bitgo broadens the distribution of BTC across the ten spot bitcoin ETFs, including GBTC. Currently, Coinbase Trust Company serves as the custodian for seven of the ten ETFs, managing assets for Grayscale, Blackrock, Ark Invest, Bitwise, Invesco, Franklin Templeton, and Wisdomtree. Fidelity independently manages its BTC, while Vaneck’s HODL funds are held by Gemini. With the addition of Bitgo, Valkyrie enters this competitive custodial landscape.

Hot Take: Bitgo Chosen for Custodial Services by Valkyrie Digital Assets in BTC ETF Pursuit

Valkyrie Digital Assets has selected Bitgo to provide custodial services for its spot bitcoin exchange-traded fund (ETF). With this collaboration, Bitgo will oversee the custody and safekeeping of Valkyrie’s bitcoin holdings. The contract includes an insurance policy to cover risks associated with key duplication, theft, fraud, and loss. This partnership allows Valkyrie to expand the distribution of BTC across the market. Coinbase Trust Company, the current custodian, will continue to be used by Valkyrie. With the addition of Bitgo, Valkyrie joins a competitive landscape where custodians like Coinbase Trust Company, Fidelity, and Gemini are already serving other BTC ETFs.