Toronto-based exchange Newton Crypto has partnered with crypto custodian Balance to safeguard its customers’ digital assets. Balance, which supports eight major cryptocurrencies, will act as a third-party custodian and wallet provider for Newton’s customers.
The Canadian custodian stores crypto assets in secure vaults distributed across multiple locations in North America. Their hardware security modules are stored in access-controlled facilities while all private keys are generated and stored offline, as well as backed up in multiple copies to prevent accidental loss.
After QuadrigaCX crisis, the crypto exchange that was shut down following the sudden death of its founder, the Canadian crypto community has been skeptical about similar platforms. The five-year-old business reportedly misplaced another $500,000 in cold wallets. Court documents say the $190 million in missing cryptocurrency is locked in offline digital wallets while the late CEO was the only person who had the password to the company’s wallets.
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As such, Newton says it recognizes the importance of security in today’s crypto marketplace, calling it a huge part of their strategy.
More about Newton
Newton Crypto is a commission-free brokerage that allows Canadians to buy, sell, and transfer cryptocurrencies. They have in place a partnership with DVX Capital Markets, a regulated trading firm with over ten years of experience trading traditional asset classes and, more recently, cryptocurrency for institutional customers.
“We know that some customers are concerned that what happened at Quadriga last year could happen again, and we want them to rest assured that it can’t happen at Newton. This step will also ensure that customers will no longer need to know the ins and outs of cryptocurrency just to purchase and store it safely,” said Dustin Walper, CEO of Newton
“Balance is committed to promoting the need for strong financial controls and regulatory supervision for the local digital asset ecosystem, and Newton has demonstrated a commitment to this same vision,” added George Bordianu, Co-founder and CEO of Balance.