Bitcoin exchange Coinbase transfer $5 billion encryption monetary assets

Coinbase is taking action to increase the support platform of the digital asset number — which also contributed to the start-up radical rethinking of how to protect these billions of dollars worth of encryption currency.

To this end, Coinbase last week retail traders encryption monetary assets (worth about 5 billion dollars) after migration to its storage mode upgrade. According to the company, the number of the migration of the crypto currency in circulation accounted for all 5% of the total bitcoin, Ethernet Fang total 8% and 25% of the total amount of Wright currency.

The security officer Coinbase Philip Martin (Phillip Martin) told the blockchain network technology, they for the migration took about 4 months to plan.

He said, “this is a new architecture”. He further explained: “regulators and auditors are involved in each stage…… One of the most important things is we not because of this incident and the impact on the market, which is why we work so hard and regulatory coordination, and concern around the trends of media speculation.”

The migration of a new key generation process from the beginning of October this year, the Coinbase team with a new computer in a safe place to print out the key, and then use the split can scan two-dimensional code, format.

Martin said: “we have the private key, and the application of a Shamir secret sharing (Shamir ‘s Secret Sharing) encryption technology, this algorithm can be used to obtain a private data, and divide it into a heap can be partitioned data fragments. There is a threshold segmentation system, you can define a threshold value, but the total number of segments is less than enough to reconstruct the original data.”

Then, billions of dollars worth of keys are in different safe places, it needs more Coinbase staff by telephone to work together, in order to unlock the encrypted currency.

Although many other bitcoin hosting providers more love on multi signature wallet, instead of a single key is split into several parts, but the Coinbase design this strategy to accommodate the assets that have not yet compatible with multi signature wallet.

Future expansion

Coinbase will this managed process support range was extended to support so far the largest number of assets, but the agency also has BitGo hosting providers in different tokens hosting solutions used in the key technology.

BitGo CEO Mike Belshe told the CoinDesk that his start-up company will not support any cannot accommodate multi signature asset trusteeship. “In the etheric square as an example, it does not support the chain of multi signature, we can use Ethernet to support multi signature contract through smart fang. BitGo also uses key slice and multi signature method. We are looking for a very powerful and more robust than the hosting process, to expand the breadth of support.”

Robin Verderosa BitGo vice president of product marketing, said BitGo and Coinbase followed similar reporting and compliance strategies, which may be the two companies in the next few months to increase new assets and new policy support to open the door. “Our in-depth study of cold storage solutions must be regulators,” she said.

In the future, insurance providers, auditors and compliance experts will continue to be an important part of the evaluation process, Martin think this is the market is a sign of maturity.

However, let Coinbase game plan out of the ordinary point is that the Exchange Company want a cold storage for the whole process, which will pave the way for its rapid expansion. “When you’re dealing with a $5 billion encryption currency, while walking we can not change the storage process. You must have a way to every possible.”

He said, “we think that for our ability to provide services in a wide range of assets when the line is very important.”

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