Winklevoss’s Gemini Gives Access to Funds From Coins in Storage
(Bloomberg) — The Winklevoss brothers say they have a solution for one of the dilemmas faced by cryptocurrency investors: Keeping digital coins protected against theft versus maintaining quick access for trading.
Gemini Trust Co., the custodial arm of the twins’ crypto exchange, said it will allow users to instantly access funds equal to the amount of coins kept off-line, or cold storage. The service is part of an effort by Gemini — run by Tyler and Cameron Winklevoss of Facebook fame — to gain a leg up in attracting institutional customers.
Crypto exchanges and custodians are battling for customers as the pool of users may actually be shrinking. While Gemini has offered custody since its inception, the firm’s service is being relaunched with a slew of new features, of which instant access to funds is just one. Customers can also grant auditors a peak at holdings, and manage multiple accounts from one master account.
“Gemini Custody is the only crypto solution that meets the complex requirements of institutions without cutting corners on security, experience, or support,” said Jeanine Hightower-Sellitto, managing director of operations for Gemini.
Gemini is a qualified crypto custodian, and it supports 18 different coins, including Bitcoin, Ether and Zcash. Other companies often only support a few coins, and can take hours and days to make the coins available for trading. Because it’s a custodian and an exchange, Gemini can offer near immediate access.
Gemini Custody stores customer coins in offline devices in geographically distributed, secure locations. The company didn’t disclose how much funds its custody service is managing.