The XDC Network has announced a pivotal partnership with BitGo to enhance institutional access to blockchain technology. By integrating BitGo”s custody solutions for XDC tokens and USDC, the network aims to eliminate key barriers that have previously hindered corporate participation in the blockchain space.
This collaboration allows enterprises to leverage regulated Multi-Party Computation (MPC) custody through BitGo Bank & Trust, which is crucial for financial institutions and exchanges looking to deploy capital on blockchain platforms. The integration is expected to significantly bolster the XDC Network”s competitive edge in sectors such as trade finance and cross-border payments.
Amitava Mandal, Director of XDC Tech US, Inc., highlighted that the partnership represents a crucial shift in infrastructure that enables true enterprise deployment. He stated, “BitGo”s custody is infrastructure that unlocks real enterprise deployment,” emphasizing the necessity of regulated custody for trade finance and payment solutions operating on blockchain.
The announcement from XDC Network confirms that this custody support will enable regulated access for tokens on its platform, paving the way for institutional capital flows that were previously unattainable. With BitGo”s regulated MPC wallet technology, enterprises can now manage XDC assets under the same security standards that govern traditional financial assets.
Furthermore, this integration enhances the security of custodial services by distributing cryptographic keys across multiple parties, mitigating risks associated with single points of failure. Financial service providers can now manage XDC assets in compliance with their existing regulatory frameworks, thereby simplifying the onboarding process for institutional investors.
In addition to improving the custody of tokens, the partnership significantly supports applications in trade finance and cross-border payment systems. The XDC Network is strategically positioned to address the challenges faced by legacy payment infrastructures, such as slow settlement times and high transaction costs. Mandal noted that this integration “removes that blocker and positions XDC Network for institutional capital flows that weren”t previously possible.”
With the ability to custody tokenized real-world assets, this partnership enables asset managers and financial institutions to handle tokenized securities and trade finance instruments efficiently. The regulated custody framework aligns with compliance requirements for managing institutional assets, allowing for a smoother transition to blockchain-based solutions.
Payment providers can also utilize this custody integration to create advanced settlement systems on the XDC Network. The fusion of fast settlement capabilities with regulated custody opens new avenues for institutional payment flows, allowing businesses to adopt blockchain technology without compromising their regulatory obligations or security standards.
Overall, the collaboration between XDC Network and BitGo marks a significant milestone in fostering institutional blockchain adoption, providing the necessary infrastructure for a new era of digital asset management.
