AnchorWatch's Trident Vault software provides a protocol native custody solution to owners of Bitcoin, backed by regulated high-quality insurance
NASHVILLE, Tenn., Sept. 26, 2023 /PRNewswire/ -- Today, AnchorWatch, an insurer that covers commercial entities holding Bitcoin, announced a $3M funding round led by Ten31 with participation from Axiom BTC, Timechain, Bitcoin Opportunity Fund, UTXO Management (the asset management arm of Bitcoin Magazine and host of the Bitcoin Conference), and others. AnchorWatch's proprietary Trident Vault software provides a protocol native custody solution to owners of bitcoin, backed by regulated high-quality insurance.
With this latest investment, AnchorWatch will be in position to complete all regulatory and capital requirements needed to deliver Trident Vault to customers and start selling policies. Additionally, AnchorWatch will undergo security audits by a number of credentialed firms to further solidify Trident Vault as a sound and viable custody solution for enterprise use.
Trident Vault is the first bitcoin vault designed specifically for commercial use and integrating dispersed workflows for remote teams. It introduces key holder seniority and time-locked spending conditions to institutional bitcoin custody, bringing compliance and governance on-chain.
"Bitcoin owners are still faced with the binary choice between self-custody and third-party sole custodians," said Robert Hamilton, cofounder and CEO at AnchorWatch. "In the case of the latter, high-risk trading strategies, or worse, blatant fraudulent activities have resulted in catastrophic losses for customers. Thus, they are hesitant to rely on the commercial key holder to deliver the services promised. AnchorWatch makes owning and holding the bearer asset practical, safe, easy, secure and verifiable."
AnchorWatch achieves its superior collaborative custody in two ways. First, their Trident Vault enables supported custody by holding a minority of keys and employing protocol-level governance and compliance. With layered security, Trident Vault allows bitcoin to be custodied in a method that suits its technology by dispersing custody physically and among unrelated entities, reducing risks of loss from catastrophic events like fires and floods, but also from theft by internal and external bad actors.
Secondly, AnchorWatch embeds regulated property insurance on the bitcoin in a Trident Vault itself. This guarantees that assets are insured in the case of catastrophe via regulated and collateralized property insurance. Because Trident enables superior security during custody, AnchorWatch is able to offer insurance at affordable rates.
"AnchorWatch is building both the technical infrastructure to advance bitcoin's potential as programmable money and the credentialed legal/financial infrastructure for bitcoin to be held by commercial institutions via its insurance offerings," said Jonathan Kirkwood, Managing Partner at Ten31. "This is a pivotal step that directly aligns with our mission at Ten31 to establish bitcoin as a viable asset for institutions, and investing in the companies at the forefront of innovating in the ecosystem."
AnchorWatch caters to family trusts, funds and pensions, family and multifamily offices, bitcoin miners and mining pools, and any other businesses that hold bitcoin. The Trident Vault is particularly applicable to estate and inheritance planning purposes. It can be utilized by estate attorneys, investment advisors, or technical advisors who advise multiple clients in the custody of their bitcoin.
To learn more about AnchorWatch, visit https://www.anchorwatch.com/.
AnchorWatch is an insurance provider, operating in the United States as a managing general agent (MGA) and captive insurer, building bespoke insurance products and technology designed for Bitcoin from the ground up. AnchorWatch property and casualty insurance policies are designed for individuals and commercial entities and cover Bitcoin stored in approved cold storage, facilitated via its robust Trident Vault software. Trident Vault combines the benefits and control of self-custody with the safety and governance of supported-custody in a way that brings new confidence to storing Bitcoin, all backed by high-quality insurance coverage.
Ten31 is the leading platform investing in companies building infrastructure and technology in the Bitcoin ecosystem. With a footprint in Nashville and Austin, Ten31 seeks to support the ecosystem's most promising founders and companies, leveraging its deep understanding of Bitcoin, extensive experience, and broad reach to create value for its partners. Since the fund's inception, Ten31 has directed more than $100 million in equity to companies building on Bitcoin and the Lightning Network. For more information, visit www.ten31.vc
Inkhouse for Ten31