PAYMENT SOLUTIONS
Blockchain security for customers The strongest asset blockchain offers against theft is the trackability of the digital currencies that pass through it . The online ledger system automatically tracks every action taken on the funds and who owns or has moved them elsewhere .
Matveev says that in terms of prevention , it is this aspect that makes blockchain a popular option among traders . “ The ability to track misappropriated funds is the best way to offer preventative security ,” he explains . “ For example , at Wirex , we work with partners such as Elliptic , a compliance firm known for its work with organisations like the FBI to track illicit funds . Because blockchain is decentralised , the current global and state structures and regulations don ’ t necessarily offer the same protections as , say , the FSCS in the UK for fiat accounts .
“ That doesn ’ t mean there ’ s no protection , though – many crypto-friendly platforms such as Wirex will include a basic level of protection or give the option for additional security for additional insurance fees . Wirex also recently partnered with Fireblocks , which insures the platform for up to $ 30mn within its DeFi services .”
“ Whether or not a central bank will adopt DLT / Blockchain technology will partly depend on the level of privacy ”
KARAN KAPOOR HEAD OF REGULATORY CHANGE AND REGTECH , DELTA CAPITA
What the future holds for blockchain As financial technology gallops forward firmly in the direction of DeFi systems and solutions , it looks likely that blockchain will maintain its popularity simply because , in the main , it ' s fast , efficient , cost-effective and secure .
Preventative measures , such as code security audits , which provide a comprehensive analysis of source code revealing bugs , security breaches or violations of programming conventions , will become more commonplace . Security solutions will also tighten up as the cat and mouse game between hacker and
104 October 2021