$6.5 Million Raised By NY Startup For Institutions to Store Crypto

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institutional investors

 

When it comes to crypto asset security, there has been a new institutional standard set after over six million dollars was raised by a cryptography pioneer based in New York.

The larger, top end of town financial players need more autonomy and security than most over their portfolio of crypto assets and in a first for the industry, the above firm has shown off an Institutional Digital Asset Wallet Service created exactly for them.

Staying Ahead of The Curv on Crypto

Curv, which likewise has research and development workplaces in Tel Aviv, has actually recognized that the sluggish uptake of cryptocurrencies by organizations might well be an outcome of the operational intricacy and single point of failure related to the private keys required to sign blockchain transactions. The company announced $6.5 million in seed funding in round led by Team8, and the world's prominent investor in digital asset companies. Japan's Monex Group was likewise one of the investors.

private key

The market requires an alternative to private keys that maintains the cryptographic layers of security required for blockchain operations. According to journalism release, Curv aims to eliminate these concerns by presenting revolutionary type of cryptography. Nadav Zafrir, co-founder and CEO of Team8, stated;

“Curv is solving the eternal trade-off between security and availability. No longer do institutions or enterprises need to maintain physical security that doesn’t scale or hot wallets that are difficult to integrate and secure. Curv gives them a single solution that does it all.”

The service will be the first to use proprietary multi-party computation (MPC) protocols so as to do away with the practice of private keys. Even though actual technical specifics were thin the release added that this would change out the need of both hot and cold wallets. It would use a scalable, software-only, cloud-based service that ensures digital assets are always available and secure.

Co-founder and Chief Product Officer of eToro and advisor to Curv, Ronen Assia, was highly supportive of the new initiative;

“Curv makes it easier for institutions to manage digital assets by ensuring that each and every transaction is secure. eToro believes that in the future all assets will be tokenized and that we will see the greatest transfer of wealth ever onto the blockchain. As we grow our digital asset offering we are looking to work with innovators such as Curv in order to provide the best possible service to our customers.”

Eggs and Baskets

Nevertheless, this could result in centralization issues due to the fact that the business also offers all of the setup, IT requirements, blockchain maintenance, and full management services. In effect, Curv would be holding all the keys, be they private or not.

The Institutional Digital Asset Wallet Service is a subscription service that will be readily available beginning March 25th, 2019 the report added. Exchanges, protectors, fintechs and institutional investors are already using it in private beta. Curv CEO, Itay Malinger, institutional moneyadded; “We are focused on unleashing the potential of blockchains with our state-of-the-art concept to digital asset security. We offer clients a way to securely combine and regulate all their digital assets, so they can easily transact and thrive in the digital world.”

Whilst there is an understandable market for such a product, putting all of your crypto eggs in the hands of one tech firm may not be the ultimate solution.

Image from Shutterstock

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