Today the security of one's Bitcoins is becoming an increasingly important aspect of holding coins and the same goes for the merchants who wish to accept the cryptocurrency as a payment method. BitGo is a company who sells security platforms which protects Bitcoins against hacks and thefts, ensuring that private persons and companies cannot have their Bitcoins stolen.
In order to develop their product and take the company to the next level they needed to raise funds and so they did. A massive $12 million was collected from investors, which included Ashton Kutcher's A-Grade Investments, Redpoint Ventures and Bitcoin Opportunity Corporation.
Jeff Brody from Redpoint told NYTimes that due to the security issues of the Bitcoin, it needs a solution similar to Verisign, who made it possible for merchants to trust online payments back when e-commerce began blowing up.
“Until VeriSign came along and offered the certificate authority and infrastructure, that was a pretty difficult and dangerous thing to do,” Brody said and added “We think that Bitcoin needs the same thing.”. BitGo is similar to Verisign in that aspect, as they use a multisignature system which works in the same way as a safe-deposit box.
If users can’t trust that their holdings are secure, or that they can’t transact securely, then Bitcoin will never take off,” Will O'Brien, CEO of BitGo said before adding “Our focus is on making Bitcoin secure for commercial transactions.”