Square invested both time and money into a bitcoin cold storage solution to support trading through its Cash app. Realising that this work could help others in the community, Square today released the entire GitHub repository as open-source.
Whilst Cash users can buy, sell and withdraw bitcoin through the app, the bitcoin 00 actually remains with Square in a combination of hot and cold wallets. To protect both itself and customers’ funds, Square needed a robust cold storage solution. Transferring funds out of cold storage requires physical access to the private keys, and there are a variety of methods to secure these offline.