After Demise of MtGox, Bitcoin Now Enters Third Stage of Evolution
“I believe that we are seeing the beginning of a new, more secure and more robust, future for digital currency.” — Will O’Brien, CEO of BitGo
The past is a great story of growth in adoption, a mining arms race, illicit marketplaces, and early exchanges. In the present, O’Brien explains, people seem preoccupied with fear, uncertainty, and doubt.
But the future is amazing, where Bitcoin is a “foundational technology that will lead to an incredible amount of financial innovation and global empowerment.”
O’Brien uses a framework of four stages of evolution in Bitcoin, and asserts that we are now officially entering the third stage with the demise of MtGox.
In this essay, O’Brien also introduces the concept of multi-signature Bitcoin wallets, an advanced technology that his company, BitGo, is pioneering.
The challenge with the increased adoption is that now theft is more prevalent.
“As more people have looked to own Bitcoin and as more exchanges and marketplaces have come online to support the increased demand, hackers now have easier and bigger targets,” writes O’Brien.
So how do you deal with theft? You need to change the way you manage your security. Instead of issuing a single key, BitGo creates a secure wallet with three keys and requires two of them to sign any transaction. No single machine has more than one key making the wallet virtually hack proof. This innovative new technology is called multi-signature security.
Read Will O’Brien’s full essay on Medium.
Visit https://bitgo.com to learn more about multi-signature secure Bitcoin wallets.
CC image by btckeychain