Blockdaemon, a blockchain node infrastructure provider supporting over 50 networks, today announced it has acquired Sepior, a data and digital asset security company focused on institutional-grade cryptographic key management and protection. The terms of the deal were not disclosed.
Following the acquisition, Blockdaemon will add the ability to offer institutional customers custodial and non-custodial wallet solutions for crypto-assets.
Hundreds of institutions now use Sepior’s multi-party computation (MPC) key management and protection technology in their services by either licensing it directly from Sepior or one of Sepior’s channel partners that offer wallets and/or custody platforms.
Blockdaemon has seen significant growth across institutional customers and as of Q2 Blockdaemon has nearly doubled that number in less than a year.
Considered a pioneer in developing and applying advanced MPC algorithms to real-world problems, Sepior solves the ‘single point of failure’ problem that many digital asset management institutions face with private key theft or misuse, which contributed to losses of more than $3.2B in 2021.
The addition of Sepior to Blockdaemon’s solution portfolio gives institutions a blockchain-agnostic, custodial or non-custodial, hardware-independent solution for private key management use and storage.
Sepior’s team is composed of prominent cryptographers and industry veterans that will be joining Blockdaemon’s team as part of the acquisition.
“We are thrilled to bring Sepior into the Blockdaemon family. The ability to properly secure private keys is a cornerstone of the multi-billion dollar institutional crypto finance industry. With this acquisition we are now able to foster the distribution of trust, identity, and privacy of keys at scale.”
– Konstantin Richter, Blockdaemon Founder & CEO
With the addition of Sepior, Blockdaemon institutional clients can now build hot and cold crypto wallet services, protect keys for dApps, and guarantee secure transaction signing.
Notably, Sepior’s technology adds a fifth layer to Blockdaemon’s risk mitigation strategy designed to protect institutional clients as they seamlessly connect to the blockchain economy.
“We’re incredibly excited to join forces with Blockdaemon. This move allows us to accelerate onboarding our institutional customers while continuing to invest in our roadmap that uniquely meets their needs in this rapidly changing environment. Integrating advanced MPC into Blockdaemon’s portfolio opens up new use cases for our technology that will allow us to serve our customers with even better digital asset security solutions.”
– Ahmet Tuncay, former CEO of Sepior and now head of MPC Digital Asset Security at Blockdaemon