BitGo Review

You may find peace of mind by storing your digital assets with one of the biggest and most experienced cryptocurrency custodians.

My BitGo review inspects the platform’s custodial and self-custody wallets, trading features, and unique benefits of this innovative company.

The Verdict for BitGo

I’ve given them a rating of 9.1 out of 10.

Criteria	Rating (out of 10)
Security Standards	9.5
Pricing & Fees	9
Asset Segregation	9.5
Insurance Coverage	9
Services & Offerings	9
Regulatory Compliance	9
Onboarding & Integration	9
Overall Rating	9.1

In this review of BitGo, I’ve followed BIC’s detailed criteria for evaluating the crypto custodian.

About BitGo

BitGo, founded in 2013, is one of the oldest cryptocurrency wallet and custody services.

It’s also one of the largest in the industry, conducting over 8% of Bitcoin transactions worldwide and supports over 1,100 tokens.. 

Hot and cold storage wallet services for individuals and institutions are its specialty. 

For instance, BitGo was the first to offer multi-signature wallets. This wallet is the standard custody practice for Bitcoin IRAs as it’s one of the safest crypto storage methods.

As a result, investors don’t have to worry about misplacing their private keys or unauthorized transactions.  

Palo Alto, California, is home to its global headquarters. The company serves over 1,500 institutions in more than 50 countries.

Since inception, it has helped customers create more than 9.3 million wallets and conduct over $2 trillion in lifetime transactions.

BitGo primarily focuses on institutional clients such as exchanges and self-directed IRA providers. Notably, it launched a retail trading platform in 2024 with staking rewards.

In 2022, the company joined the Crypto Market Integrity Coalition (CMIC) in collaboration with over twenty crypto industry leaders.

This organization pledges to create safer digital asset markets in an asset class prone to fraud and theft.

Security Standards

Impressively, BitGo states that it has never experienced theft of assets under its custody. 

This achievement is reassuring as most customer holdings are parked in custodian wallets.

Multi-layer bank-level security protects each BitGo wallet, including:

• Audit logs for account logins, transactions, and policy updates
• Biometric identity verification capability
• Multi-location custody
• Multi-party wallets
• Role-based access controls
• Routine third-party audits for regulatory compliance and security
• SOC 1 Type II and SOC 2 Type 2 certifications 

I appreciate the customizable controls to only permit access of sensitive details to select designated personnel.

However, verifying the authenticity of transaction requests can take up to 24 hours. 

These various protocols help prevent single points of failure. You’re more likely to encounter this incident type with an entry-level storage wallet or by leaving your tokens on the exchange.

The platform also has customizable self-custody wallet security controls. These include setting individual permissions, requiring identity verification, and implementing daily transaction velocity controls.

In the unlikely event of having to regain access to your account, recovery specialists can securely provide step-by-step guidance.

Understandably, custody wallets where BitGo retains all three keys have the most safeguards and recovery options.

BitGo openly advertises a bug bounty program where programmers can earn rewards for discovering critical vulnerabilities.

Pricing & Fees

Anticipate paying percentage-based custody and transaction fees or a minimum customer fee applies, whichever is higher for your monthly billing period.

You must contact BitGo to find out precise fee rates.

Assets under custody

The assets under custody (AUC) fee is calculated per coin across all customer wallets.

Instead of paying a fee for your total combined balance, you pay a separate fee for each crypto asset in your wallet.

For example, you pay 0.25% on the first $1 million in Bitcoin holdings and 0.20% on all excess balances.

Each altcoin has separate pricing tiers, meaning you pay 0.25% on the first $1 million in Ethereum holdings and 0.25% in XRP balances. 

It’s computed hourly and based on the U.S. Dollar (USD) value for each coin.

BitGo averages the hourly USD balances to determine the average monthly balance and multiplies it by the specified rate.

Unfortunately, BitGo doesn’t disclose the fee range as the rate varies by contract.

You may have a flat rate or several tiered rates.

Transactional billing

Self-managed wallets are only billed for outgoing transactions outside of a customer’s enterprise, such as to a non-BitGo wallet.

Transfers between the same customer’s wallets are exempt.

Once again, BitGo doesn’t publicly disclose pricing. The billing tiers are likely similar to the corresponding custody fee tier, based on the U.S. Dollar value sent. 

You can estimate this fee and accompanying blockchain fees before initiating the transaction.

However, the final amount can fluctuate if it takes long to confirm multi-signature withdrawals.

Asset Segregation

There are two similar yet distinct security protocols you can choose from to guard your custodial or self-custody wallet:

• Multi-signature: Get three unique public keys split three ways for the user, backup, and BitGo. Two keys must complete a transaction. This is the most common protocol for cryptocurrency IRAs, although they have less privacy as all transactions occur on-chain.
• Threshold Signature Scheme (TSS): A highly secure form of multi-party computational (MPC) protocols with one public key split three ways. Two key signatures must approve each transaction. This method is off-chain for more privacy and has lower fees.  

You can choose which method you prefer for your custodial or self-custody wallets. It’s also possible to pick a combination of both protocols. I find this flexibility appealing as other platforms may only offer one type. 

These wallets are in the custody of BitGo Trust, which is regulated in several states.

All accounts are kept separate from other customers and are bankruptcy-remote if BitGo ever goes out of business.

Insurance Coverage

BitGo Trust provides up to $250 million in coverage against loss, theft, and misuse when the entity holds all three keys.

This limit is among the highest in the industry, and you’re able to acquire “excess specie” insurance for additional balances.

During qualified incidents, BitGo pays all deductible expenses since it holds all three keys.  

Lloyd’s of London and other insurers within the European Marketplace underwrite these policies. 

Unfortunately, self-custody hot wallets are ineligible for this complimentary coverage.

Instead, the crypto trust suggests key recovery service (KRS) insurance and additional options are available through CoinCover.

Services & Offerings

BitGo is one of the most prominent crypto custodians and serves many of the best crypto IRA companies.

As a result, it offers a wide range of services to satisfy most custody and trading needs.

Wallet services

Three different BitGo wallet options provide secure storage flexibility:

• Qualified custody: As the company’s most popular wallet option, BitGo stores all three keys in cold storage disconnected from the internet. This custody method is insured and regulated, requiring video confirmation before executing transactions.
• Self-custody: Hot and cold storage allow you to keep the client and backup keys. While this option is ineligible for custody insurance, the transaction process is secure as your client key isn’t exposed when uploading transactions for countersigning.
• Wallet-as-a-service: Create programmable wallets with single-interface APIs and SDKs to manage customer assets instead of hiring your own blockchain team. Similar to self-custody, you keep two of the three keys.

An onboarding specialist can help you decide which custody services are ideal for your intentions.

Financial services

Several trading services and asset management services are beneficial to financial advisers and high-net-worth crypto investors.

• BitGo Prime: A 24/7 trading platform directly from cold storage wallets. It’s also possible to offer crypto-backed loans while keeping collateral in segregated, insured accounts.
• Go Network: A single platform to instantly settle over 150 fiat and digital asset trades off-chain between institutions, exchanges, and market makers. Avoid counterparty risk by storing assets in cold storage.  
• Real-world assets: Tokenize alternative assets overseen by a regulated custody provider, similar to cryptocurrency holdings.

I like that these tools can integrate with centralized and decentralized exchanges. You’re able to settle off-exchange trades too.

Staking

Earn staking rewards for Bitcoin and other supported digital assets.

It’s possible to delegate funds from custody wallets or self-custody hot wallets. You can stake or restake eligible projects with one button click.

Choose from over 30 decentralized validators to earn consistent and competitive yields with transparent reporting.

USD standard stablecoin

BitGo recently launched its USD Standard stablecoin (Ticker: USDS) with a 1:1 parity to the U.S. dollar.

Dollar-denominated assets fully back this stablecoin.

Its collateral includes short-duration Treasury Bills, overnight repos, and cash.

Unlike its top competitors, centralized exchanges with a proprietary stablecoin, USDS is an open-participation project that returns approximately 98% of its rewards to participants, providing liquidity to the stablecoin ecosystem.

Regulatory Compliance

BitGo conducts Know Your Customer (KYC) and sanctions checks during onboarding. 

These capabilities are one reason why this company has routinely been chosen to help distribute assets for now-defunct crypto exchanges such as FTX. 

Additionally, BitGo and its entities regularly undergo third-party audits to verify the custodial wallets have accurate balances and sufficient collateral. 

Domestically, the New York Department of Financial Services and the South Dakota Division of Banking regulate its U.S.-based qualified custodians. 

To help prevent fraud and money laundering, the company classifies as a money services business with the Financial Crimes Enforcement Network (FinCEN).

Onboarding & Integration

Individual crypto traders can sign up for free online on the retail trading platform. I find the enrollment process easy and you enable two-factor authentication (2FA) during enrollment.

You can quickly create wallets, fund your account, and start trading after verifying your identity.

Businesses and advisors start by completing a contact form mentioning their business type, country, and fund assets under management.

A specialist then contacts them to develop a personalized suite of services.

Initially, prospective customers can only receive email support. However, you can also refer to specific features in in-depth technical guides under the “resources” tab.

The online platform also offers webinars, case studies, and whitepapers.

BitGo Alternatives

Even though BitGo offers just about everything most crypto investors need, it’s still worth comparing these custodians to find the best match for your goals.

Coinbase Prime

Coinbase Prime offers advanced trading books for over 400 crypto assets while protecting your identity.

Accounts are eligible for up to $320 million in insurance, staking rewards, vault storage, and on-chain wallets.

Digital Trust

Digital Trust provides self-directed IRAs and checkbook IRAs to individuals, trusts, LLCs, and businesses of any account size.

It’s possible to trade many crypto tokens 24/7 and also include other alternative assets within the same tax-advantaged retirement account.

Gemini Custody

Gemini Custody is a great option for active crypto traders seeking in-depth research tools and order books.

Over 100 cryptocurrencies are available for 24/7 instant trading. Assets are held in cold storage and are eligible for up to $125 million in insurance benefits.

Is BitGo safe?

BitGo is one of the most trusted cryptocurrency custodians due to being one of the industry pioneers, dating back to 2013.

It also has longstanding relationships with the best-rated crypto IRA companies and investment platforms.

It’s an all-in-one solution for opening a Bitcoin IRA. You can create custody wallets and self-custody wallets with rigorous security standards and valuable insurance benefits.

FAQs