Former Twitter CEO starts selling cryptocurrency wallets for bitcoin

Blockchain company owned by Twitter co-founder and former CEO Jack Dorsey has announced the launch of its own hardware wallet for storing bitcoins. The crypto wallet is called Bitkey.

According to the company, the devices will be delivered in 2024 to more than 95 countries. Bitkey includes a mobile application, a hardware wallet in the shape of a black hexagon, and a set of tools to recover private keys from the wallet in case of loss.

«We are confident that in the future, users will increasingly seek self-storage of cryptocurrency as it provides peace of mind, reduces dependence on a single organization, and allows people to control their own bitcoins. Bitkey is a simple and secure way for people with different experience with BTC to take control of their finances,» explained Thomas Templeton, one of the wallet’s developers.

Bitkey’s security system is based on the use of three private keys, two of which are stored on users' devices and the third on the developer’s server. This mechanism allows customers not to memorize long passwords but to have a high level of wallet security. The company itself does not have access to users' digital assets.

In May 2023, the French manufacturer of popular crypto wallets Ledger was criticized by the crypto community. The company announced a service to restore access to digital assets on the wallet, when the secret phrase from the wallet (seed phrase) is divided into three parts and sent to Ledger’s partner companies for storage. Users were outraged by the idea that wallet keys could be disclosed to anyone other than their owners. This scenario contradicts the idea of cold storage.

It should be noted that Ledger is one of the leading manufacturers of hardware crypto wallets, occupying 20−25% of the market. Later, Ledger explained that there are levels of protection and control in the firmware of the devices to ensure that no attacker (even an internal one) can introduce malware.