crypto patent

Bank of America Awarded Patent for Enterprise-Level Crypto Storage System

Bank of America has been awarded with a patent that illustrates how enterprises can store digital currencies owned by their customers. The patent was awarded on Tuesday, November 13, 2018, by the US Patent and Trademark Office. The patent filing claimed that should cryptocurrencies witness mass adoption, large companies should be able to store coins for their customers.

As per the patent, the number of organisations that are required to transact with cryptos or offer related services to are increasing. These enterprises include custodians as well as cryptocurrency exchanges. Many of these business would also need to convert deposits in a currency into cryptocurrency and consequently hold them. Storage of the cryptocurrencies securely would necessitate the need of an enterprise level account for the specific purpose.

The patent filing suggested that funds can be stored in an aggregated account, however a customer’s account can be deposited with value equal to their crypto holdings.

As per the filing:

“Enterprises may handle a large number of financial transactions on a daily basis. As technology advances, financial transactions involving cryptocurrency have become more common. For some enterprises, it may be desirable to aggregate cryptocurrency deposited by customers in an enterprise account.”

The bank’s system would need to have a processor as well as memory which will store the private key associated with the crypto asset holdings. Apart from storage, such a system would thus enable authorized transactions as well. Such a system uses less bandwidth as well as memory, and it also requires minimum possible computational resources as well as electricity. Customers will be able to partake in transactions by getting access to their specific accounts.

Bank of America has several Blockchain related patents in its kitty. Just last month, it was awarded a patent for storing cryptographic keys associated with crypto assets on a hardware device.

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