BitGo says it is changing from default wrapped segwit (P2SH-P2WSH) receive addresses to native segwit (P2WSH), which “require 25% less data to spend — translating to lower fees.”
Since the beginning, BitGo has supported “both native segwit and wrapped segwit Bitcoin addresses.”
However, many clients still “use the wrapped segwit address type because it has previously been set as default, until now.”
Native segwit allows for “more compact transactions, reducing the data size and facilitating faster processing.”
However, most wallets now “support sending to bech32 addresses, which means wallet compatibility has significantly improved — allowing users to fully benefit from native segwit.”
BitGo explains in a blog post that it is “making native segwit the default address type for our API. This change will roll out in the coming weeks — meaning API users will automatically create P2WSH addresses without additional configuration.”
If you still prefer wrapped segwit, you can choose “to revert by adding ‘chain: 10’ (Note: You will need to use ‘chain: 20’ after May) to your ‘createAddress’ call.”
Later this year, UI users will have the option “to select the address type for wallets, giving you more control and flexibility.”
With the transition to native segwit, BitGo aims “to lower transaction fees for all clients.”
This shift aligns with “the broader industry trend, as wallet compatibility with native segwit continues to grow.”
As noted in the update, BitGo partners with coin foundations and protocols all over the world to help them “navigate the complexities of launching and managing their coins effectively.”
By removing operational complexity and security concerns, and deepening ecosystem support with wBTC and Layer 2 coins and tokens, BitGo says that it “helps coin foundations and protocols thrive in the dynamic world of digital assets.”
BitGo, founded in 2013, is a provider of secure digital asset wallet solutions, “offering institutional-grade custody, staking, trading, and core wallet infrastructure.”
Notably, it supported the multi-signature wallet and launched BitGo Trust Company in 2018, the first qualified custodian for digital assets.
With a $250 million insurance policy, SOC 1 Type 2 and SOC 2 Type 2 certifications, and rigorous regulatory compliance, BitGo says that it “ensures high standards of security and confidentiality.”
Expanding its services, BitGo states that it has “introduced institutional-grade DeFi, NFT, web3 offerings, and the Go Network.”
In 2023, it secured $100M Series C financing, “valuing the company at $1.75B.”
BitGo further notes that it “supports 700+ digital assets, processes 20% of on-chain Bitcoin transactions, and serves over 1,500 institutional clients across 50 countries.”