Latin American cryptocurrency exchange, Bitso, has forged a strategic alliance with blockchain security firm Coincover to enhance the protection of its digital assets. Announced on Thursday, this collaboration underscores Bitso’s commitment to safeguarding user assets in an increasingly perilous crypto environment.

Innovative Security Measures for Digital Assets

Through the integration of Coincover’s advanced security solutions with Bitso’s multiparty computation (MPC) infrastructure, the exchange will bolster its defenses against potential threats such as cyberattacks and the loss of access to funds. This partnership introduces non-custodial disaster recovery protocols, ensuring that Bitso remains resilient even in the face of significant security breaches. Additionally, Coincover’s real-time monitoring system will scrutinize outgoing transactions, adding another layer of vigilance to Bitso’s operations.

Rising Threats in the Crypto Landscape

The urgency of such measures is underscored by alarming statistics from Immunefi, which reports that the crypto sector has suffered losses exceeding $900 million due to hacks and fraudulent activities this year alone. The second quarter of 2024 saw a staggering $572 million in assets stolen, more than doubling the losses from the same period last year.

“Latin America leads the world in preference for centralized exchanges among crypto users,” remarked Digby Try, Senior Vice President at Coincover. “While this is indicative of the industry’s expansion in the region, it also makes these exchanges prime targets for cyberattacks and scams.”

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Bitso’s Expanding Influence in Latin America

Founded in 2014, Bitso has established a robust presence across Mexico, Brazil, Argentina, and Colombia. The exchange boasts a user base of 8 million customers, including 1,700 institutional clients, supported by a workforce of over 500 employees.

As Bitso continues to grow, this partnership with Coincover is a significant step in fortifying its infrastructure against the ever-evolving threats in the digital asset space.

Coincover’s Role in Securing the Crypto Ecosystem

Since its inception in 2018, Coincover has been at the forefront of blockchain security, serving over 500 clients, including industry heavyweights like Fireblocks, BitGo, and Ledger. With a reputation for delivering cutting-edge protection solutions, Coincover’s collaboration with Bitso marks yet another milestone in its mission to secure the global crypto ecosystem.

Conclusion: A Strategic Defense Against Crypto Threats

As the crypto industry faces escalating security challenges, Bitso’s partnership with Coincover represents a proactive approach to protecting its users and their assets. By integrating advanced security measures, Bitso not only enhances its operational resilience but also strengthens trust within its growing community. This alliance is poised to set a new standard for security in the rapidly evolving Latin American crypto market.