Leading US digital asset storage and security company BitGo has obtained a New York State trust license from the New York State Department of Financial Services.

According to the announcement, the new charter allows BitGo to offer custodial services to institutional clients in New York City who want to make large investments in cryptocurrency while complying with local regulations.

With this new license, BitGo will offer customers know-your-customer and anti-money laundering controls, and offer offline cold storage of cryptographic keys in bank-level vaults, BitGo said.

Mike Belshe, CEO of BitGo, said the new NYDFS trust charter will help the company serve the world’s largest financial institutions based in New York State.

Mr. Belshe stated that the firm has experienced a significant increase in the number of institutional clients:

The past year has been an exceptional one for BitGo and the digital asset markets in general, thanks in large part to the arrival of major financial institutions that have brought a new level of trust, liquidity and stability to the cryptocurrency ecosystem.

In August 2020, BitGo filed an application to participate in a New York City Trust Charter as an independent and regulated custodian in New York State.

BitGo, founded in 2013 in Palo Alto, California, offers both storage for cryptocurrents like Bitcoin (BTC) and cryptocurrency transaction processing. The company is backed by major companies like Goldman Sachs, as well as industry players like Digital Currency Group and Galaxy Digital Ventures.

Last year BitGo set up two new custodial subsidiaries in Switzerland and Germany, each regulated by the authorities in their respective jurisdictions.