28 July 2017
visit www.avoka.com

MT. Gox and CoinLab team up for US Bitcoin push; Silicon Valley Bank onboard

28 February 2013  |  6831 views  |  0 buy and sell button

The world's biggest Bitcoin exchange, MT. Gox, has inked a deal that will see Silicon Valley-based CoinLab handle its North American operations.

Despite its global dominance of the market, Japan-based MT. Gox has struggled to gain real traction in the US, prompting it to outsource operations to CoinLab.

CoinLab has gained credibility through a recent $500,000 funding round and also has a relationship with Silicon Valley Bank, which will provide "back-end banking features" for the exchange, says CEO Peter Vessenes.

"We'll be using an in-house key generation process for Bitcoins, combined with real (and realistic) physical controls for Bitcoins and cash," he adds in a statement.

Gox customers in the US and Canada, don't have to do anything, and will be notified when their funds have moved over to America, "and from then on, sending and receiving money in and out of the exchange will get a lot easier".

Although MT. Gox was hacked in 2011, causing a spectacular market crash, Vessenes says that he decided to work with the exchange after visiting Japan and determining that it has "by far the best security record" of potential partners.

That hack saw the value of Bitcoin fall from $17.5 to pennies on MT. Gox within minutes but the currency has been doggedly recovering ever since and hit a record high of more than $32 this week.

Comments: (0)

Comment on this story (membership required)

Finextra news in your inbox

For Finextra's free daily newsletter, breaking news flashes and weekly jobs board: sign up now

Related stories

Bitcoin-Central backtracks on PSP claims

Bitcoin-Central backtracks on PSP claims

07 December 2012  |  12058 views  |  0 comments | 24 tweets | 10 linkedin
Bitcoin merchants plan own Black Friday

Bitcoin merchants plan own Black Friday

05 November 2012  |  7041 views  |  1 comments | 3 tweets | 1 linkedin
Hacked Bitcoin exchange Bitfloor reopens

Hacked Bitcoin exchange Bitfloor reopens

28 September 2012  |  6482 views  |  0 comments
Bitfloor exchange shuts down after $250,000 heist

Bitfloor exchange shuts down after $250,000 heist

05 September 2012  |  5604 views  |  0 comments
BitInstant confirms Bitcoin card plans

BitInstant confirms Bitcoin card plans

23 August 2012  |  8271 views  |  0 comments
Users sue Bitcoin exchange over $460k in missing funds

Users sue Bitcoin exchange over $460k in missing funds

13 August 2012  |  7428 views  |  0 comments
Bitcoin exchange loses $90,000 in virtual currency hack

Bitcoin exchange loses $90,000 in virtual currency hack

14 May 2012  |  9309 views  |  0 comments
Bitcoin exchange TradeHill sues Dwolla

Bitcoin exchange TradeHill sues Dwolla

07 March 2012  |  7964 views  |  0 comments
Paxum ditches Bitcoin as Tradehill exchange shuts down

Paxum ditches Bitcoin as Tradehill exchange shuts down

20 February 2012  |  10045 views  |  0 comments
Exchange lets users pay cash for Bitcoin at bank branches

Exchange lets users pay cash for Bitcoin at bank branches

22 August 2011  |  12789 views  |  0 comments
Bitcoin value crashes after exchange compromised

Bitcoin value crashes after exchange compromised

20 June 2011  |  19335 views  |  0 comments

Related company news

 

Related blogs

Create a blog about this story (membership required)
download the paper nowvisit www.www.fisglobal.comdownload the paper now

Top topics

Most viewed Most shared
US firm to implant employees with RFID chipsUS firm to implant employees with RFID chi...
9620 views 16 comments | 33 tweets | 38 linkedin
hands typing furiouslyHow automation can help transform the fina...
8271 views 0 | 6 tweets | 2 linkedin
Santander looks to smooth fintech integration with BiBoxSantander looks to smooth fintech integrat...
7429 views comments | 16 tweets | 15 linkedin
hands typing furiouslySWIFT Blockchain POC: enhanced cross-borde...
7086 views 1 | 4 tweets | 13 linkedin
UniCredit confirms data breachUniCredit confirms data breach
6547 views comments | 11 tweets | 16 linkedin

Featured job


Brussels or Frankfurt

Find your next job