In a bid to provide branded cryptocurrencies with enterprise-grade security, Fireblocks has integrated DigitalBits into its Network.
Fireblocks Network is known as the most secure network for the transfer of digital assets for institutions. DigitalBits, on the other hand, is a blockchain protocol that is designed for the digital assets of consumers.
By adding DigitalBits into its network, Fireblocks seeks to deliver a scalable and safe structure for the transfer and storage of XDB tokens.
A safe haven for branded cryptocurrencies
Branded currencies have great value, worth billions of dollars, and have been active in advancing consumer behavior. These currencies include loyalty and reward points, and the emerging subcategory of branded currencies, known as branded stablecoins.
These assets however have begun the unavoidable transformation to tokenization. For this reason, the new approach employed by Fireworks Network in securing these digital assets will be of utmost relevance to the adoption of institutions and consumers.
The mechanism employed by Fireblocks’ Network in securing digital assets, presents a defense-in-depth approach. This approach combines chip-level isolation technology with multi-party computation-based cryptography (MPC).
With this approach put in place, the counterparty transaction becomes open to authentication that is based on hardware. Also, the single point of failure is eliminated from the process of key-management.
The innovative approach by Fireblocks Network also addresses issues on common attack vectors. These vectors include internal fraud, human error, and cyber-attacks. As it addresses these vectors, it also reduces dependence on time-consuming and outdated practices. Such practices include whitelisting, hardware wallets, and test transfers.
According to the CEO & Co-Founder at Fireblocks, Michael Shaulov, “DigitalBits is the first blockchain-focused on servicing branded cryptocurrencies to join the Fireblocks Network.”
He also said that they’re looking forward to assisting brands and other enterprises with leveraging Fireblocks’ platform to keep their branded digital assets secure.
Need for secure branded cryptocurrencies
Branded stablecoins have gained attention from recognized brands such as Libra Association members and Facebook. For this reason, durable security solutions should be provided to service the transfers and security of these branded assets.
Since Fireblocks came out of stealth mode in mid-2019, it has moved a monthly average of $7.5 billion between the institutional players and exchanges. Recently, Ernst & Young awarded Fireblocks with the Service Organization Control (SOC) 2 Type II Certification.
Putting all the afore-mentioned achievements into consideration, it is clear that Fireblocks has the ability to proffer solutions that are ideal for firms that wish to enter into the blockchain space. Adding DigitalBits to its Network is one of such solutions.
Previously, Fireblocks announced it will secure the flow of digital assets for Celsius Network. With the enlisting, the digital asset cybersecurity startup was expected to witness explosive growth. This is because Celsius has an active presence in over 150 jurisdictions across the globe.