Institutional investors have long been considered the holy grail of cryptocurrency adoption. In 2019 in particular, institutional interest seems to have picked up thanks to third-party cryptocurrency custody providers who lay the groundwork for institutional investors to safely enter the crypto space by introducing qualified storage solutions. One such third-party custody is BitGo.
BitGo, based in Palo Alto, California, has recently announced the launch of a multi-signature wallet and custody service for Tron. With BitGo’s multi-sig, funds will be accessed using two or more keys owned by separate users.
BitGo Adds Support For Tron In An Effort To Drive Institutional Adoption
According to a medium post published on October 14 by TRON Foundation, BitGo will support the Tronix TRX asset from the 8th of November 2019. With this integration, BitGo clients interested in the custody of TRON will be able to do so in a “safe and compliant way.”
BitGo has been working with Tron developers to build the first TRX institutional-grade multi-sig wallet. Per the BitGo team, this move to add support for Tron was made due to increased institutional demand for Tron.
Speaking as to why the qualified custodian BitGo has added support for TRX, Benedict Chan, BitGo CTO, said:
“TRON’s move towards on-chain, multi-sig opens the door for financial services clients who demand the highest levels of security.”
Founder of Tron and CEO of BitTorrent Justin Sun tweeted about Tron’s commendable achievement, noting that the collaboration with BitGo will entail a further exploration of DeFi applications. He went ahead to state that this partnership will bring in institutional investors, thus increasing the adoption of TRX in addition to increasing its value:
“We are excited to be supported by @BitGo, which will enable #TRON to further delve into various DeFi applications and we welcome them as a partner. BitGo’s support of TRON marks a milestone in enabling further institutional adoption for #TRX,” said Sun.
Any Effect On The Price Of TRX?
TRX has been performing well recently, even usurping Cardano to claim the 11th spot on the crypto rankings.
In the cryptocurrency market, any positive news for crypto tends to ignite a short-lived surge for the asset in question. However, whether this BitGo partnership will stir a rally for TRX remains to be seen. But what is abundantly clear is that it will boost the institutional adoption of TRX, therefore increase the value of TRX in the long-term.