AnchorWatch, a leading insurer specializing in safeguarding Bitcoin holdings for commercial entities, announced a successful $3 million funding round today. The round was led by Ten31, with notable participation from Axiom BTC, Bitcoin Magazine Fund, Timechain, Bitcoin Opportunity Fund, and other investors. The infusion of capital will empower AnchorWatch to fulfill regulatory requirements and capital needs, paving the way for the launch of its Trident Vault software and the sale of insurance policies tailored for Bitcoin holders.
AnchorWatch’s Trident Vault software represents an another innovative solution for Bitcoin custody, combining protocol-native custody with high-quality, regulated insurance coverage. This addresses a critical gap in the Bitcoin market, providing greater confidence and security to BTC owners.
Trident Vault is a Bitcoin vault designed exclusively for commercial use. It streamlines remote team workflows, introduces key holder seniority, and features time-locked spending conditions, thereby enhancing 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 of 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 collaborative custody through two key mechanisms. Firstly, Trident Vault facilitates assisted custody by holding a minority of keys and implementing protocol-level governance and compliance. This method enhances security by dispersing custody across different physical locations and unrelated entities, mitigating risks from events like fires, floods, and theft by internal or external actors.
Secondly, AnchorWatch embeds regulated property insurance directly into Trident Vaults. This insurance ensures that assets are protected in the event of catastrophic incidents through regulated and collateralized property insurance. Thanks to Trident’s advanced security, AnchorWatch can provide this insurance at competitive rates.
Jonathan Kirkwood, Managing Partner at Ten31, highlighted the significance of AnchorWatch’s approach: “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. 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 a diverse range of clients, including family trusts, funds, pensions, family offices, Bitcoin miners, and mining pools. The Trident Vault is especially valuable for estate and inheritance planning purposes, serving estate attorneys, investment advisors, and technical advisors who oversee multiple clients’ Bitcoin custody needs.
AnchorWatch’s commitment to advancing Bitcoin custody and insurance solutions positions them at the forefront of the Bitcoin industry, ready to provide much-needed security and peace of mind for Bitcoin holders.