For the Zcash Foundation, keeping their assets secure is key to moving their work and their organization forward. Backed by a sizeable endowment, the Foundation’s directive is to ensure that the Zcash protocol and the open network it powers remain an open and diverse community. This means making Zcash, a digital privacy-protecting coin, easier to use without sacrificing its technical excellence, security, or censorship-resistance. For the endowment, it means security of their funds absolutely can not fail.
Partnering with BitGo for custody provides the Foundation with the most secure solution for protecting those assets.
The cryptocurrency industry at large faces challenges in keeping funds protected. Hot wallets are vulnerable, exchanges are a centralized target for hackers, and potential loss of digital keys threatens accessibility.
BitGo, the market leader in cryptocurrency financial services and security, addresses these threat vectors with the most advanced cold storage technology.
The benefits of BitGo include:
• Regulatory compliance: qualified custody
• Insurance covering both theft and data breaches
• Robust security controls: SOC 2, CryptoCurrency Security Standard (CCSS), and Committee Sponsoring Organizations of the Treadway Commission (COSO) alignment
• Security thought leadership: Instructors at Carnegie Mellon University CISO and CRO executive programs and FS-ISAC membership
• 100% multi-signature technology
• Bank grade vaults
• Broad support for coins and tokens, forks, and airdrops
“We needed a solution for keeping our funds safe, and BitGo made that possible,” said Josh Cincinnati, Executive Director of the Zcash Foundation. “Maintaining proper operational security is complex and it wouldn’t make sense to dedicate resources to building our own proprietary custody solution when we’re able to partner with experts. BitGo focuses on its core competencies in providing secure custody, allowing us to focus on our own core competencies.”
The Foundation is on a mission to bring comprehensive privacy to blockchain-based transactions. By supporting infrastructure development and technological adoption, the Foundation seeks to offer improved confidentiality and autonomy over our lives. Bringing Zcash to the mainstream creates opportunity for greater financial freedom; the digital currency allows users to autonomously and confidentially transact. The underlying Zcash blockchain makes this possible with “shielded” transactions leveraging zk-SNARKs (zero-knowledge, Succinct, Non-Interactive Argument of Knowledge), a cryptographic technology that proves ownership without publicly revealing transaction data.
By giving users the choice to shield their transactions, the technology empowers those whose freedoms are challenged by oppression or surveillance; it offers autonomy over how they spend and move their funds.
Mission-driven cryptocurrencies are designed to obviate the need for trust at the base layer, but that trust is still extremely important. Third-party services or products that interface with assets must demonstrate that they deserve a client’s confidence.
“BitGo had the established track record and solid reputation that we were looking for when it came to securing our funds,” Cincinnati explained. “The company’s reputation for excellence made BitGo the clear choice for our custody partner.” The Foundation says usability is still a hurdle for cryptocurrencies, including Zcash, but that good operational security makes it much easier to engage with the technology.
“Secure custody solutions have the power to further adoption of cryptocurrencies by making it feasible for institutions and other entities to HODL with reduced risk,” said Cincinnati. “Backed by strong infrastructure, the future of user-centric technologies looks bright.”