Securities services provider BNP Paribas has just completed a Proof of Concept with cloud based crypto wallet provider Curv, to demonstrate a highly secure way to transfer security tokens.
The security token was transferred using Curv’s advanced cryptography which utilizes a concept called multi-party computation (MPC). The institutional grade technology enables transactions to be securely signed in a mathematically-proven, distributed way.
The move is a step towards an integrated custody solution that combines both traditional and regulated digital assets, according to Bruno Campenon, Global Head of Financial Intermediaries at BNP Paribas.
The PoC was carried out to demonstrate that tokenized securities can be transferred swiftly, securely, and transparently on the blockchain. It used an ERC-1400 security standard token, which has a far stricter set of technical requirements, for the demonstration.
A Proof of Concept could be described as a realization of a certain method or ideas to demonstrate its feasibility. It is often considered as a milestone on the way to a fully functioning prototype, in this case a secure enterprise grade crypto custody solution with a mathematically secure transfer system.
Curv, not to be confused with DeFi protocol Curve, provides secure crypto custodian services on a cloud based wallet. Its MPC technology eliminates the concept of private keys and single point of failure by signing each and every transaction in a secure, distributed way to protect against cyberattacks and insider collusion.
Co-founder and CEO of Curv, Itay Malinger, stated that global financial players like BNP Paribas play a vital role in the digital economy:
“To do so they require a secure and scalable infrastructure to deliver competitive custody products to their customer base.”
Founded in 2018, Curv is headquartered in New York and is being adopted by traditional financial institutions, digital asset managers, exchanges, and OTC desks. BNP Paribas provides multi-asset post-trade and asset servicing solutions for traders and corporate clients in 35 countries.
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