FlyCoin Inks Partnership with BitGo

FlyCoin, a cryptocurrency-based travel rewards company, announced on Wednesday that it had signed a partnership with BitGo, a digital asset financial services provider. According to the press release, with BitGo's US Qualified Custody Solution, FlyCoin will hold a significant portion of its minted cryptocurrency token, FLY. Earlier this year, FlyCoin raised $33M in seed funding.

As part of their advisory team, the company announced major crypto heavyweights Lisa Nector and Rena Shah. Flycoin's other partners include ThanksAgain, Foley Wines and Ravn Alaska Airlines. 

"As we continue to grow Flycoin's ecosystem of partners and end-users, it is critical that we properly safeguard these digital assets. BitGo's reputation and credibility as a global leader in digital asset cryptocurrency are unmatched, and a key factor in our decision to partner with them in this capacity," Lenny Moon, FlyCoin's CEO, commented.

Kai Kono, the Managing Director of Global Head of Digital Asset Sales at BitGo, added: "I am very pleased to work closely with the FlyCoin team and for BitGo to be a trusted partner in their journey to revolutionize the travel rewards industry through the use of blockchain technology."

Last year, the New York Department of Financial Services granted BitGo a limited liability trust company license. With the trust company charter from the New York State Department of Financial Services, BitGo can offer cryptocurrency trading and custody services to companies based in the state.

BitGo is now on even stronger ground with the SEC's approval as a qualified custodian. Additionally, the NY approval reduces reliance on third-party financial institutions. It enables the exchange to offer deposit-taking, custody and fiduciary services for digital assets, which are usually only available at banks and registered brokers. The firm noted that it now can provide New York's investment advisers with the technical and regulatory clarity they require as a result of the approval of its banking bid.