VersaBank, Canada's first fully digital bank, announced that it is developing VersaVault, an infrastructure based on blockchain technology to safeguard digital property, including cryptocurrencies.
The digital bank released the information through an official announcement recently. VersaVault will serve as a safe deposit box or safe deposit vault, thanks to the blockchain, in which VersaBank customers can deposit digital assets in general.
Essentially, the infrastructure developed by VersaBank works in the same way as a classic security vault, that is, only the client will have access to what is stored there and will have the guarantee of the entity. In addition, this product will be available to customers around the world.
VersaVault is the solution that your digital wealth has been waiting for: the impenetrable security and the absolute privacy of the blockchain encryption, created and managed by an authorized bank in one of the most reliable financial markets in the world. Just like a safe deposit box, only you have access to what's inside, and like a safe deposit box, it's been built by an institution you can trust to be there for the long term.
VersaBank
To achieve this goal, VersaBank announced in the statement that it has the renowned expert Gurpreet Sahota as architect and Head of Cyber Security, since he has a vast experience in cybersecurity. Gurpreet will be leading a team of software engineers for the implementation of VersaVault; project that is part of the objectives on always offering new services and innovations of the bank.
The reasons that motivate VersaBank to develop the aforementioned product by applying the blockchain are related to the fact that for this moment there are no devices that can fully secure this class of assets, nor do cloud services offer maximum security. For their part, those based on blockchain, such as digital wallets, are usually offered by unknown companies and barely nascent, "says the bank's official website.
Beyond this, the CEO of VersaBank, David Taylor, commented that the initiative also arises from the revolution that has enabled the blockchain and the cryptoactives in the banking and financial field.
Now is the time to focus our attention on the construction of this new product based on blockchain, which the world clearly needs. Bitcoin and other cryptographic currencies are rapidly gaining popularity and holders have already experienced that their valuable holdings disappear from the less secure "digital storage" options. Banks have always been known as the safest place to store items of physical value, and our goal is to make VersaVault the safest place to protect your digital valuables, with absolute privacy.
David Taylor
CEO, VersaBank
However, although the digital bank guarantees privacy and security, combining "banking integrity with blockchain security", it is important to remember that VersaBank is a centralized entity that manages the security box, and this, in a certain way, goes against what Bitcoin originally proposed and the first cryptocurrencies: decentralization and the elimination of intermediaries. This is not to mention the risks that the bank must still face with the development of this 'security trunk', among which the box turns out not to be as safe as it promises.
It should be noted that Canada is definitely a country that has enabled a good environment both for the use of cryptocurrencies, and for the application and research of blockchain technology. Earlier this month, the Canadian government announced that it will be experimenting with the Ethereum blockchain with a view to publishing data on donations and contributions from third parties made to the government. As for the use of cryptocurrencies, it stands out that the chain of fast food restaurants KFC launched The Bitcoin Bucket, a special promotion in exchange for bitcoins.
