Gemini Custody vs Bakkt — Head-to-Head Custody Comparison

An independent, data-driven comparison of Gemini Custody and Bakkt across security, insurance, fees, regulatory compliance, and more.

Verdict

Quick Verdict

Gemini Custody scores 7.7 vs Bakkt's 7.0. Gemini Custody leads in 6 of 8 categories.

Gemini Custody is better suited for Institutions, Funds, Family offices. Bakkt is better suited for Institutions, Financial services companies, Fintechs.

7.7

GoodCustody Score

Gemini Custody

GoodCustody Score

Bakkt

Scores

Score Comparison

Weighted scores across all 8 custody criteria.

Criterion	Weight	Gemini Custody	Bakkt	Winner
Security	20%	8.5	8.0	Gemini Custody
Insurance	15%	7.0	6.0	Gemini Custody
Regulatory	15%	9.0	8.5	Gemini Custody
Fee Transparency	10%	7.5	7.0	Gemini Custody
Track Record	15%	7.0	7.0	Tie
Withdrawal Flexibility	10%	7.5	6.5	Gemini Custody
Reporting & Audit	10%	9.0	7.5	Gemini Custody
Counterparty Diversification	5%	2.0	2.0	Tie
Overall Score	100%	7.7	7	Gemini Custody

Visual

Score Radar

Visual overlay of Gemini Custody and Bakkt across all categories.

Gemini CustodyBakkt

Deep Dive

Category-by-Category Analysis

A deeper look at how each provider performs in every scoring criterion.

Security (8.5 vs 8.0)

Gemini Custody uses HSM-based cold storage key management with Majority cold in cold storage and regular penetration testing. Compliance: SOC 1 Type 2 + SOC 2 Type 2. Incident history: Gemini Earn program issues in 2022 (separate from custody). No custody-specific incidents..

Bakkt uses Cold storage with multi-zone physical security key management with Majority cold in cold storage and regular penetration testing. Compliance: SOC 2 (details not fully public). Incident history: No custody incidents. Company has faced financial challenges (stock price decline)..

Insurance (7.0 vs 6.0)

Gemini Custody offers Insurance on all crypto stored in hot wallet. Cold storage coverage varies. via Top insurance providers. Gemini is one of few exchanges offering insurance on online assets. Cold storage insurance details available to institutional clients.

Bakkt offers $125M reported (as of 2019, may have changed) via Not publicly confirmed recently. Insurance details less transparent than competitors. Originally claimed $125M coverage.

Regulatory (9.0 vs 8.5)

Gemini Custody holds New York Trust Charter, SOC 1 Type 2, SOC 2 Type 2 and is a qualified custodian operating in United States. New York State Department of Financial Services regulated trust company. First crypto exchange to achieve both SOC 1 and SOC 2 Type 2.

Bakkt holds NYDFS Qualified Custodian (Bakkt Trust Company LLC) and is a qualified custodian operating in United States. Bakkt Trust Company LLC is a New York State-regulated qualified custodian. Parent ICE/NYSE provides institutional gravitas.

Fee Transparency (7.5 vs 7.0)

Gemini Custody charges 0.40% AUM annually (40bps) — tiered in annual custody fees with Varies by volume per transaction. Lower than Coinbase Custody's 50bps for comparable service.

Bakkt charges 0.10% AUM/month for BTC (1.2% annually). 0.20% AUM/month for ETH. in annual custody fees with Varies per transaction. $100/month minimum fee. Higher annual rate than most competitors.

Track Record (7.0 vs 7.0)

Gemini Custody was founded in 2019 and is headquartered in New York, NY. AUM: Not publicly disclosed. Incident history: Gemini Earn program issues in 2022 (separate from custody). No custody-specific incidents..

Bakkt was founded in 2018 and is headquartered in Alpharetta, GA. AUM: Not publicly disclosed. Incident history: No custody incidents. Company has faced financial challenges (stock price decline)..

Withdrawal Flexibility (7.5 vs 6.5)

Gemini Custody withdrawal fees: Network fees. Minimum account: Contact for pricing. Supported assets: Bitcoin, Ethereum, 70+ assets.

Bakkt withdrawal fees: Network fees. Minimum account: Contact for pricing. Supported assets: Bitcoin, Ethereum.

Reporting & Audit (9.0 vs 7.5)

Gemini Custody: SOC compliance is SOC 1 Type 2 + SOC 2 Type 2. As a qualified custodian, it meets SEC reporting requirements.

Bakkt: SOC compliance is SOC 2 (details not fully public). As a qualified custodian, it meets SEC reporting requirements.

Counterparty Diversification (2.0 vs 2.0)

Gemini Custody is a qualified custodian provider. Key management: Proprietary cold storage system with HSMs and multi-layer security protocols..

Bakkt is a qualified custodian provider. Key management: Warehouse-grade cold storage with multi-zone physical security..

Fees

Fee Comparison

Side-by-side fee breakdown for Gemini Custody and Bakkt.

Fee Type	Gemini Custody	Bakkt
Setup Fee	Contact for pricing	Contact for pricing
Annual Custody	0.40% AUM annually (40bps) — tiered	0.10% AUM/month for BTC (1.2% annually). 0.20% AUM/month for ETH.
Transaction	Varies by volume	Varies
Withdrawal	Network fees	Network fees

Gemini Custody: Lower than Coinbase Custody's 50bps for comparable service.

Bakkt: $100/month minimum fee. Higher annual rate than most competitors.

Features

Feature Comparison

Checklist of features across both providers.

Feature	Gemini Custody	Bakkt
24/7 response support	✗	✓
70+ asset support	✓	✗
Available in all 50 US states	✓	✗
Cold storage custody	✓	✗
Consumer wallet solutions	✗	✓
Crypto rewards and loyalty programs	✗	✓
Hardware security key support (WebAuthn)	✓	✗
ICE/NYSE pedigree	✗	✓
Integration with Gemini exchange	✓	✗
Publicly traded (BKKT)	✗	✓
SOC 1 & SOC 2 Type 2 certified	✓	✗
Warehouse-grade cold storage	✗	✓

Recommendation

Who Should Choose Which?

Gemini Custody is better if you…

✓Are a institutions
✓Are a funds
✓Are a family offices
✓Are a fiduciaries
✓Want: First crypto exchange to achieve SOC 1 + SOC 2 Type 2
✓Want: Competitive custody fee at 40bps
✓Want: Available in all 50 US states

Bakkt is better if you…

✓Are a institutions
✓Are a financial services companies
✓Are a fintechs
✓Are a merchants
✓Want: Owned by ICE (NYSE parent) — unmatched traditional finance pedigree
✓Want: NYDFS qualified custodian
✓Want: Publicly traded — financial transparency

FAQ

Frequently Asked Questions

Is Gemini Custody or Bakkt better for Bitcoin custody?

Gemini Custody scores 7.7 vs 7.0 in our weighted Custody Score. Gemini Custody leads in 6 of 8 scoring categories. However, the best choice depends on your specific needs: Gemini Custody is best for Institutions and Funds, while Bakkt suits Institutions and Financial services companies.

What is the difference between Gemini Custody and Bakkt?

Gemini Custody is a qualified custodian provider, while Bakkt is a qualified custodian provider. Gemini Custody excels in Regulatory, whereas Bakkt is strongest in Regulatory.

How do Gemini Custody and Bakkt fees compare?

Gemini Custody charges 0.40% AUM annually (40bps) — tiered annual custody fees with Varies by volume transaction fees. Bakkt charges 0.10% AUM/month for BTC (1.2% annually). 0.20% AUM/month for ETH. annual custody fees with Varies transaction fees.

Which is more secure, Gemini Custody or Bakkt?

Gemini Custody scores 8.5/10 for security while Bakkt scores 8.0/10. Gemini Custody uses HSM-based cold storage key management, and Bakkt uses Cold storage with multi-zone physical security.