Casa, a Bitcoin Startup, Diversifies with Ethereum Vaults for Expanded Crypto Support.
June 21, 2023:- Casa, a Bitcoin wallet provider, has expanded its services beyond Bitcoin by introducing Ethereum vaults. This new offering aims to give Ethereum (ETH) holders a more secure way to take control of their funds.
The concept of “not your keys, not your coins” is central to the cryptocurrency industry. Casa seeks to simplify and enhance the security of storing funds by enabling self-custody, allowing users to manage their assets instead of relying on third-party exchanges.
Recognizing that many Bitcoin owners also hold ETH, Casa decided to add support for Ethereum. According to a survey by Grayscale Investments, a significant majority (87%) of Bitcoin investors own at least one other cryptocurrency. Casa initially revealed its plans to expand to Ethereum in November last year.
Incidents of third-party failures in the crypto space, like the downfall of the FTX exchange in November, highlight the risks associated with trusting external platforms. By practicing self-custody and holding private keys, users can minimize the chances of their assets being frozen, misused, or stolen during exchange-related issues.
Casa’s CEO, Nick Neuman, emphasized that self-custody empowers users by giving them control and responsibility over their assets. He believes reducing reliance on third parties and adopting self-custody with private critical ownership is the future of managing finances.
Typically, users secure their ETH or BTC with a single private key. If that key is lost or compromised, the funds are permanently inaccessible. Casa utilizes multi-signature technology, requiring multiple keys to secure the funds.
Casa’s standard multi-signature setup involves two-of-three keys, meaning that two of three are needed to authorize fund transfers. This approach offers added security because even if a hacker obtains one of the keys, they cannot move the funds without the others. It also safeguards forgetful users, as two keys would need to be lost to permanently lose access to their ETH or BTC.
With the latest update, Casa extends its technology to secure Ethereum holdings, joining other multi-signature products available in the Ethereum ecosystem, such as Safe.
For users concerned about the complexity of self-custody, Casa strives to make the process surprisingly simple. Their app provides users with a clear overview of their essential health and guides them through crucial replacement if a key is lost or stolen. Casa compares the user experience to a regular banking app, offering support and guidance at every step.
Additionally, Casa offers an advanced plan for users with significant holdings. This plan features a five-key vault with additional security measures like video verification and emergency support.