We’ve received a number of questions from BitGo customers about how to handle their wallets come August 1st. As you probably have read, there are two potential chain splitting events coming:
Overall, because all BitGo users hold their own keys, BitGo is safe for storage of Bitcoin during these events. To be extra careful, you can avoid transactions around this time period, but as of this writing we do not believe there is reason to do so.
Here is a short question-and-answer to help BitGo wallet users:
- Do I need to do anything due to the UASF?
No. Because the segregated witness (segwit) feature is well on its way to activation, UASF will not be a significant event on August 1st.
- Do I need to do anything due to the Bitcoin Cash Hard Fork?
No. At this time, Bitcoin Cash plans to implement two-way replay protection, meaning that all transactions specifically declare which chain they are intended for. You can safely spend BTC on the existing chain without losing the possibility of spending coins on the Bitcoin Cash chain in the future.
- Will all BitGo wallets operate normally, web as well as API, regardless of any kind of chain splitting events?
Yes. BitGo wallets will function normally.
- Do you recommend pausing outgoing transaction during any particular time period?
Not at this time.
- What will happen with any coins on the Bitcoin Cash chain from BitGo wallets?
Due to the short time period between now and when the Bitcoin Cash chain is expected to fork, BitGo will not be able to fully support a full Bitcoin Cash wallet in our API and Web interfaces. However, BitGo will produce a command line tool which users can use to specifically send Bitcoin Cash coins to an external Bitcoin Cash wallet. We expect this tool to be available by August 7.
- How do I trade Bitcoin Cash coins before the BitGo tool is available on Aug 7?
You’ll need to move your coins out of your BitGo wallet to a wallet compatible with Bitcoin Cash; you can then move your coins back into your BitGo wallet after the hard fork.
- Will BitGo support the Bitcoin Cash chain eventually?
Assuming sufficient customer demand, BitGo will support it. Although we would have liked to provide support on August 1, the short schedule and lack of a testable chain for the Bitcoin Cash makes it impossible for BitGo to provide a secure platform in that timeframe.
We hope this helps all BitGo users. If you have any questions, please don’t hesitate to contact us.