Quant, a trailblazer in blockchain technology for finance, has introduced a pioneering solution aimed at bolstering the security of blockchain transactions within the banking and institutional sector.
Traditional financial institutions have long relied on mature key management solutions to safeguard their data, business applications, and transactions. However, with the advent of blockchain and digital assets, these conventional key management systems have proven inadequate in delivering the level of security and compliance required by regulatory standards. Consequently, many enterprises have resorted to circumventing stringent security protocols, jeopardizing their operations by storing blockchain keys on employee laptops for the purpose of signing digital asset transactions.
The groundbreaking Overledger Authorise addresses this pressing issue by offering banks and institutions a seamless means of managing and integrating digital asset and blockchain private keys with their existing enterprise key management systems. This integration enables end-to-end authorization of transactions, facilitating smooth operations across established systems and diverse blockchain networks. Notably, Authorise has recently undergone rigorous stress-testing and validation during its participation in Project Rosalind, a flagship central bank digital currency experiment led by the Bank of England and the Bank for International Settlements. This successful test has paved the way for the wider adoption of this transformative technology.
With Quant’s Overledger Authorise, the banking and institutional sector now possesses a powerful tool to ensure the security and compliance of blockchain-based transactions, promising a new era of confidence and efficiency in the realm of digital assets.
In blockchain, a private key is an alphanumeric code that fulfils a similar function to a password. These keys are used to authorise and validate transactions, rendering them irreplaceable for accessing funds stored on a blockchain. However, issues can arise due to a range of factors, including human error, theft, and malicious attacks.
Banks traditionally use key management systems that are unsuitable for blockchain, and connecting these systems to blockchain would be a huge task. Authorise addresses this issue by integrating with existing enterprise key management systems and seamlessly managing the signing of blockchain transactions and key generation. When a business application or workflow initiates or signs a transaction, Authorise coordinates the necessary authentication, authorisation and verifications with existing key management systems to securely deliver the transaction to the destination blockchain. This relieves banks from the risk of storing keys on an employee’s laptop and the burdensome task of configuring and handling transaction signing for each network.
Generating and storing cryptographic keys is a risky and complex business, susceptible to cyber-attacks, user mismanagement, and a range of technological implications for transaction signing. Until now, blockchain solutions had struggled to match the security and convenience demanded by traditional banking transactions.
Quant Founder and CEO, Gilbert Verdian, comments: “Blockchain technology has the potential to revolutionise banking, but we cannot unlock its true potential without robust and future-proof solutions for cryptographic key management and transaction authorisation. This is where Overledger Authorise comes in. It brings central bank-grade key management and enterprise transaction signing capabilities to the blockchain ecosystem. By integrating existing enterprise key management systems to seamlessly connect and interoperate with multiple blockchains while maintaining high-grade security compliance, we have secured and simplified the adoption of digital assets for banks, institutions, and enterprise developers.”
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