Over $150 billion in Bitcoin has been permanently lost or stolen due to lost hardware and hacks. While Xapo Bank provides all the standard security features like 2FA and biometrics, what truly sets us apart is our multi-party computation (MPC) security.
With cyber security at the core of what we do, your Bitcoin is protected to the highest standard.
how we keep your Bitcoin safe
How does MPC work?
Multi-party computation (MPC) wallets boost the security of your Bitcoin, ensuring no single entity or person can threaten your Bitcoin. This is achieved by splitting the Master Private Key into multiple shards that can be stored in secure, secret locations around the globe.
MPC security benefits
Sharding the Bitcoin keys and storing them in undisclosed locations mitigates risks like hacking, phishing, and internal breaches, unlike traditional methods where a single point of compromise can lead to losses.
How does Xapo Bank use MPC?
Every time you initiate a transaction, each of the shards is required to sign the blockchain transaction to reach what is known as a signature threshold. These shards are securely stored around the globe on hardware-based encrypted devices within secure enclaves.
2 ways to store your Bitcoin with The same mpc security
Transact Bitcoin easily
Your daily wallet uses the MPC protocol to ensure secure Bitcoin transactions, which means you can spend with your Xapo card4 or via the Lightning Network with complete confidence.
Grow your holdings
We use our own Bitcoin reserves to generate yield that we share with you, so you can enjoy risk-free 1% annual interest1 on your Bitcoin, with anytime access.
With Xapo Bank, your Bitcoin is in safe hands. Our 29,000-strong Bitcoin reserve and regulatory capital ensure protection against system hacks, third-party theft, or even our bankruptcy. Rest easy knowing your digital assets are safeguarded, regardless of Xapo Bank’s future.
As a licensed and regulated bank in Gibraltar, Xapo Bank is committed to financial transparency and client security.
We undergo annual audits by a Big Four firm as well as consistent evaluations by the Gibraltar Financial Services Commission that ensure robust defences against cyber risks, fraud, and financial crime. With mandated capital reserves and segregated funds, we’re expertly positioned to protect you against losses.
Xapo Bank App security features
Our security strategies and compliance