Charlie Beach, chief operating officer, Lendingblock

Lendingblock, a digital assets lending exchange has partnered with Vo1t, a market leading insured custody service provider to offer a cold storage capability for its lending platform.

Under the partnership, Vo1t will implement a high security cold storage facility for Lendingblock’s fund storage that will be covered by a dedicated crypto assets insurance programme. The 24/7 global custody service offered by Vo1t will be designed to provide access to funds within 30 minutes and will also ensure that clients’ funds are kept separated from Lendingblock funds.

Charlie Beach, chief operating officer, Lendingblock said, “We chose Vo1t because we believe they are an industry leader in providing an insured and secure, multi-asset custodian system that meets our primary goal of protecting our clients’ assets. Vo1t’s ability to release funds rapidly further provides our clients with the flexibility required to carry fast transactions through our platform.”

Lendingblock will benefit from Vo1t’s security measures that offer multiple layers of encryption of private keys, geographic distribution of private keys, thermal, vibration and motion detection, Faraday shielding to prevent against wireless infiltrations, 24/7 patrols and alarm monitoring with police response.

Lendingblock and Voit have established criteria for transferring funds from the cold storage such as loan maturity, over-collateralization or liquidation.

Charlie Beach  says “Lendingblock’s partnership with Vo1t signifies a significant step towards building the robust market and financial infrastructure necessary to bring further institutional participants to use digital asset lending as part of their daily investment strategies.”

Miles Parry, chief operating officer at Vo1t said, “We are delighted to be working with Lendingblock, as they bring the benefits of securities lending to crypto institutions through their professional digital assets lending exchange. The decision recognises Vo1t’s strong commitment to providing the utmost safety security measures taken on behalf of clients’ digital funds.”

by Sumit Vengurlekar