Canadian based Versabank Inc. has announced it is planning to build a vault for safeguarding cryptocurrencies.
Digital currencies are constantly attracting attention due to its rapid rise at an early stage of development. Cryptocurrencies are digital assets and the safest way to secure assets are to store them in bank vaults.
Crytojacking is becoming very popular among cybercriminals, as increased rate of the digital currency theft are reported almost on a daily basis, resulting to panic among crypto traders which has also contributed to the recent dwindling rates of these digital currencies.
Digital assets are blockchain products whose ownership depends on the ability to keep private keys that allow access. These private keys are usually very delicate entities because every coin and assets they are associated with are automatically lost by losing these keys. Most portfolios have methods of recovering lost keys or restoring access to portfolios when private keys are lost or forgotten. For example, Bitpay’s 12-word backup set can be used to restore access when passwords are forgotten. However, users are always advised to keep this information in a safe place and never share it with others.
With Cryptocurrencies gaininig constant value in the digital market, questions are arising about the storage security of the exchange businesses, VersaBank Inc. stocks are an indicator of what the ecosystem should expect in the future. Like a safe, the bank will not know what it contains and VersaBank will not be able to access the content. The CEO of Versabank, David Taylor said:
“Our differentiator in this market is being secure and super private, the bank would not have a back door to open the vault, we only provide the facility people could use their digital keys with.”
This digital vault is been developed by a team of software engineers led by cybersecurity expert Gurpreet Sahota. The safe will securely store digital assets on computer servers around the world.