Shares of BitGo Holdings Inc (NYSE:BTGO) rose 2.1% in after-hours trading Wednesday after the company said it will provide institutional custody services for Robinhood Chain at mainnet launch.
BitGo described the integration as day-one custody support for Robinhood Chain, an Ethereum Layer 2 network built on Arbitrum technology that is intended for onchain financial services and tokenized real-world assets. The offering targets institutional clients that require custody and wallet-management functionality from the networks inception.
Under the arrangement, BitGo customers will be able to create wallets and manage keys for eligible ERC-20 assets on Robinhood Chain through BitGos platform. The company said its service gives exchanges, fintech firms, asset managers and other institutional market participants access to custody infrastructure for the network from launch.
BitGos announced capabilities include both hot and cold wallet options implemented on its multi-signature architecture, platform-based wallet creation and key management, ERC-20 support for assets launching on the network at mainnet, and native ETH transaction fee support.
Akshay Thakur, Director of Product Management at BitGo, said the company has made substantial investments in the integration, deploying smart contracts, updating the full platform stack and standing up dedicated node infrastructure to support Robinhood Chain.
Robinhood Chain is positioned as a blockchain environment designed to support 24/7 market infrastructure and interoperability between traditional finance and decentralized finance. BitGo will deliver its services through BitGo, Inc. and regulated entities, including BitGo Bank & Trust, National Association, described by the company as an OCC-regulated digital asset trust bank.
Context and implications
For institutional participants that plan to engage with Robinhood Chain, the availability of custody and wallet services from an established digital asset infrastructure provider may streamline onboarding at mainnet. BitGos deployment of node infrastructure and platform updates are central to offering custody from the networks first day of operation.
What we know
- BitGo will provide institutional wallet and custody services for Robinhood Chain at mainnet.
- Support covers eligible ERC-20 assets launching on the network at mainnet and native ETH transaction fees.
- Capabilities include multi-signature hot and cold wallets, platform wallet creation and key management, and dedicated node infrastructure.
BitGos announcement coincided with a modest after-hours uptick in its stock, reflecting investor attention to the companys expanding custody footprint on emerging blockchain networks.