In an effort to protect cryptocurrency investors from hacking, a vault dedicated to store online currencies is to be launched by a bank in Canada. The announcement of the creation of a digital vault comes after a cryptocurrency exchange was hacked in Japan. Thieves were able to steal more than £300million from more than 200,000 customers.
VersaBank announced its intention to set up a digital safety deposit box based on blockchain technology. Its intent is to protect cryptocurrency investors from similar hacking attacks. According to VersaBank, “Your digital assets are just as valuable as any family jewellery, property deed or stock certificate, but protecting them isn’t nearly as simple. No storage device or commercial cloud service is completely safe, and most blockchain-based secure storage is only for crypto-currency and offered by companies you’ve never heard of, in places you don’t know.”
VersaBank describes what users can expect from having digital vault of their own, “Like a safety deposit box, only you have access to what’s inside, and like a safety deposit box, it’s been built by an institution you can trust to be there for the long run.” David Taylor, the CEO and President of VersaBank, aims to help not just cryptocurrency users, he also intneds to make Canada a world leader in cryptocurrency.
Taylor claims that the digital vault functions the same way as a physical vault. He declares, “We’re using what banks are all about — safety and security — only what we’re doing now is saying that physical box in the basement is getting obsolete.” He also acknowledges the value of digital formats and how many people store their priceless assets in such a format. He states, “Most people’s really valuable assets are contained in some sort of digital format, whether it be a deed or a contract or a cryptocurrency.”
VersaBank promises secure and private storage. According to Taylor, “Our differentiator in this market is to be secure and super private. The bank wouldn’t have any kind of back door to open up the vault, we’re just providing the facility that folks could put their digital keys in.” Canada’s effort to put up a digital vault is in sharp contrast to banks in the US and UK which are cracking down on digital currency and encouraging users to stop using it.