Jack Dorsey’s Block Launches New Bitkey Bitcoin Wallet for Self-Custody

BySamson Ononeme

Dec 7, 2023 ,
Block Makes Bitcoin Self-Custody Push With Bitkey Wallet Launch

Key Insights

  • Block launches new Bitkey Bitcoin wallet for self-custody, using a multi-signature security model
  • Bitkey is designed for easy use by novice crypto users via integrated hardware and mobile app
  • Rollout starts in 2024 across 95 countries, with Coinbase and Cash App as first partners

San Francisco – Financial services company Block, co-founded by Jack Dorsey, has announced its new Bitkey hardware and mobile wallet, aiming to bring self-custody Bitcoin solutions to the masses. The launch comes as part of Dorsey and Block’s growing focus on expanding Bitcoin adoption and infrastructure.

The Bitkey wallet, accessible in over 95 countries initially, utilizes a two-of-three multi-signature set-up – consisting of a mobile key, a hardware key, and a server key. This distributed security model means any two of the three keys can be used to approve Bitcoin transactions or other account changes.

Bitkey wallet

Unlike some existing self-hosted wallets, Bitkey is designed specifically with novice Bitcoin users in mind. The hardware device, which resembles a credit card reader, handles transaction signing and key storage. It connects via Bluetooth to a mobile app that enables spending and receiving, essentially abstracting away much of the complexity traditionally associated with self-custody.

Read also! Bitkey Review

Additional security and recovery features include fingerprint and facial recognition authorization for transactions, automated backups, and a recovery code system for account restoration if devices are lost.

Although self-custody removes third-party risks, the multi-signature architecture and centralized server key means Block still plays a role in Bitkey accounts. Block states they can never unilaterally access user funds, however, some Bitcoin purists argue any intermediary undermines the ethos of personal sovereignty.

The Bitkey package, including both hardware and mobile app, is available for pre-order at $150 excluding taxes and shipping. Roll-out across 95 countries starts in early 2024. Several major crypto apps such as Coinbase and Cash App will integrate support as the first Bitkey global partners.

The launch comes as Block pushes further into Bitcoin services on the back of strong growth in crypto demand. In Q3 2023 Bitcoin revenue hit $45 million, up 22% year-over-year, with over $2.4 billion in Bitcoin sold to Cash App users. Dorsey is an outspoken Bitcoin advocate, arguing it promotes financial inclusion and independence.

Samson Ononeme

Meet Samson Ononeme, a dynamic writer, editor, and CEO of marketsxplora.com. With a passion for words and a sharp business acumen, Samson captivates readers with captivating storytelling and delivers insightful market analysis. He is a trailblazer in the finance industry, empowering individuals with knowledge and shaping the narrative of money. Get ready to be inspired by his literary prowess and entrepreneurial leadership.

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