Custodian Vaults is an Australian company owned by the Pallion precious metal firm has received enormous requests from traders who are looking for various options to securely store digital assets reports the Finder. This Australian firm has partnered with the Decentralised Agency, the blockchain advisory firm to develop enhanced vaults for the cryptocurrency.
Xapo is one of the renowned companies to provide ultra-security for bitcoin key storage in this space and holds around 7% of the total world’s bitcoins.
According to Stephen Moss, the founder of Decentralised Capital, the new Custodian Vaults offers a much broader solution that includes physical security, pin codes, biometric identification, CCTV monitoring, and several other physical security elements connected to offline servers, which are accessed only through an internal network of the vault.
Moss clarifies that the Custodian Vaults employs a “private Wi-Fi room” to transfer data between clients and the servers.
Besides this, the report declares that the cryptocurrencies are not physical assets, securing these are done only through storing complex passwords, and writing down these passwords are not safe. If a user is not able to recall the password, it is impossible to track the funds. Therefore, users must always use hardware wallets to transfer and securely store the funds. Of course, this still needs seed keys in case a wallet is damaged or lost.
Insurance For Digital Assets
As per the Finder, many digital asset users are looking for ways to get their coins insured. For typical reasons, many insurers are hesitant to touch and insure digital assets. The volatility of cryptocurrencies makes it highly complicated to calculate losses and risks and provide an accurate dollar value for these assets.
According to Stephen Moss, the digital assets that are in company possession are insured, though he did not specify any provider’s name.
The Finder mentions that since a huge number of digital assets are used widely, it needs a strict and formalized custodian services and digital asset storage. By paving the way for insured digital assets, it will open a door to manage and store cryptocurrencies on the decentralized system.[The views and opinions expressed in this article are those of the authors and do not necessarily reflect the views and/or the official policy of the website. ]