Bitget has unveiled Fund Custody, a new solution to protect professional investors and institutions. The solution provides a dedicated wallet to qualified accounts to maximise the protection of customers’ funds on the platform.
Fund Custody is coming just days after the crypto exchange launched the snapshot of its Merkle tree Proof of Reserves to reassure users that their assets are held in 1:1 reserve.
To qualify, users will need to store more than or equal to 100,000 USDT worth of combined assets (including spot, futures, Bitget Earn, fiat currency, and leverage) on the platform. Once the application is approved, the user will be assigned a separate custodial wallet, with a dedicated address to check and withdraw funds from the main reserve.
“Protecting our customers’ assets is, and always will be, our top priority at Bitget. Ever since the collapse of some bad actors in the industry, we have taken a series of initiatives for heightened protection,” said Gracy Chen, Managing Director of Bitget. “In addition to the security offered with our US$300 million Bitget Protection Fund and Merkle tree Proof of Reserves, we are proud to announce our Fund Custody service. The new service, equipped with industry-grade security systems and dedicated wallet addresses for qualified users, shall further foster transparency and elevate safety for our users and their funds.”
Storing the asset in a separate wallet prevents users’ funds from being affected in case of emergencies such as an exchange run, or other cybersecurity threats. The wallet assets will be rounded on a daily basis to make sure the user still meets the required conditions.
Additionally, Bitget has recently updated its Merkle tree snapshot as of December 31, 2022, and the latest reserve ratio of the most popular tokens include BTC reserves are held at 650 percent, USDT reserves held at 185 percent, and ETH reserves held at 237 percent.
The exchange is committed to being fully reserved holding customers’ assets on the platform at least on a 1:1 reserves ratio.