The unique concept behind Bitalo allows you to trade and store Bitcoin, Bitcoin Cash, and Dash in a highly secure user-side encrypted multi-signature deterministic wallet.
Bitalo is a publicly listed company with German roots and management with a BaFin licence (German Financial Supervisory Authority) and is also a member of EdW, an institution responsible for compensating investors in case an associated member company is in financial difficulties and no longer able to fulfil its obligations.
With the Bitalo Wallet, the user does not have to give up control over their stored bitcoins. The platform works with user-side encrypted multi-signature wallets and backup transactions, which means that Bitalo has no access to your funds or coins.
How is it different?
As opposed to single-signature wallets, the Bitalo solution offers a much higher level of security, since the wallet’s private key for a particular transaction is generated and encrypted by the user and then used to co-sign the transaction together with Bitalo.
Users can also set up an automatic backup transaction, thus ensuring that they can retrieve their bitcoins, even if the Bitalo service is shut down. This is ensured by providing nLockTime transactions which essentially make deposits redeemable after some time, which allows for getting your funds out, even when the site is offline.
The wallet’s deterministic nature enables users to generate an unlimited number of wallet addresses without having to worry about backups becoming invalid, as has been the case with earlier clients in the market.