Institutional digital asset management platform Fireblocks has announced that Bitcoin trading platform LGO will integrate its security and API infrastructure, in an effort to expand its product offerings.
According to a recent announcement, the integration will allow LGO to increase the speed at which customers can access and withdraw funds by tapping the liquidity of the Fireblocks ecosystem.
The measure also aims to help to deliver maximum security and better execution for the institutional investors, said LGO.
Fireblocks integration advantages
Speaking with CryptoNewspeople, Michael Shaulov, CEO and co-founder of Fireblocks, stressed the increasing need for secure solutions that provide efficient access to users’ funds — such as Fireblocks’ Secure Transfer Environment.
Shaulov said the solution takes a defense-in-depth approach to secure users’ private keys and deposit addresses by combining MPC (Multi-Party Computing) with hardware isolation, adding:
“This is what provides LGO with the infrastructure they need to protect user funds from cyberattacks and insider threats. This provides an added layer of security that doesn’t force institutions to choose between speed or security. Comparatively, most competitors use user-mode MPC, that is not protected by a hardware barrier.”
By leveraging Fireblocks’ infrastructure, Shaulov says that institutions will have an alternative way to store and transfer assets that do not require them to choose between speed and security.
Impact in the Bitcoin spot market
Shaulov said the solution offered similar advantages in terms of the Bitcoin spot market:
“In today’s Bitcoin spot market traders need to pre-fund their Bitcoin on the exchanges in order to trade. Having extremely secure storage with very fast SLA puts LGO in a preferred position to both assure the cybersecurity around the pre-funded collateral and to allow very fast deposits and withdrawals of the funds, which increases the liquidity and reduces the cost of capital for its customers.”
Plans for 2020
Looking ahead, Fireblocks said that new developments in 2020 will focus on eliminating counterparty, compliance and security risks to streamline the settlement process for all market participants.
On March 17, Fireblocks announced its integration with the decentralized finance lending platform Compound, which is currently the second-largest application built on Ethereum.