Cybersecurity firm Gemalto and security and infrastructure company Ledger have announced a technology partnership for offering security infrastructure for crypto assets applications. Company informed that the joint Gemalto and Ledger solution consists of integration of Ledger’s Blockchain Open Ledger Operating System (BOLOS) into Gemalto’s SafeNet Hardware Security Module (HSM). This will provide secure environment for financial institutions looking to leverage cryptocurrency. The solution can be used to secure launching of investable products on cryptocurrencies, or stocking cryptocurrencies.
“The market has seen a significant growth of cryptocurrencies over the past few years, now representing a market capitalization of $137 billion, compared to $7.8 trillion for gold and $83.8 trillion for the global stock market. In addition, multiple large banks and hedge funds have announced plans to develop and implement blockchain use cases, both for internal and external purposes,” said Gemalto.
“As the market value of blockchain based solutions rises, so does the need for bank grade security products, when financial institutions are looking for dedicated, certified solutions. We plan to leverage SafeNet HSM to provide our clients in the financial industry with a unique, secure product line customised to their needs,” said Eric Larchevêque, CEO at Ledger.
“With the proper security to protect communication, devices and users, blockchain can offer a trusted platform for parties that don’t have an existing relationship to do business efficiently and transparently. Beyond the financial services market, we are also working with Ledger to embed BOLOS into any device’s secure element and bring high-assurance security to markets like smart energy applications, home automation or wearables,’ said Todd Moore, Senior Vice President of Encryption Products at Gemalto.
Customers can customize account-based digital signature policies, heightening security requirements for user authentication of these transactions. The solution also builds in the ability to execute blockchain-based smart contracts, which are self-enforcing, self-executing digitally signed contracts. Compared with traditionally brokered transactions, a secure blockchain application for cryptocurrency trading simplifies a financial organization’s portfolio and contract management process by reducing costs and saving time.
Blockchain is a new technology that allows transactions to be carried out over peer-to-peer networks by acting as a distributed ledger that gives transactional authority directly to each counterparty involved. Blockchain enables faster, more efficient transaction and settlement processes.
Additionally, blockchain is an ideal model to address the scalability concerns for widespread adoption of IoT. The massive volume of communication and data produced by IoT devices requires transactions to take place at the edge, a problem blockchain solves. Combining proven security technology with a decentralized system for IoT networks offers efficiency, user privacy, validation of the user’s identity and transaction and secure offline storage to prevent theft or spoofing.