Digital asset security framework provider Metaco has collaborated with tech firm IBM for providing cryptocurrency custodial service using the latter’s cloud platform.
As per a media release made Thursday, Metaco will capitalize on IBM Cloud and IBM Cloud Hyper Protect Services for the crypto asset management system.
The objective of the collaboration is to offer requisite cryptocurrency custodial facilities for banks and other top regulated financial service providers who interested in partaking in the cryptocurrency landscape through use cases such as custody, tokenization and transaction administration, among others.
As portion of the announcement, Metaco will supposedly utilize IBM’s confidential computing and also “Keep Your Own Key” (KYOK), encryption to guarantee that the company’s customers continue to hold total control over their private keys.
The media release also disclosed that customers will be able to operate the asset management system both on cloud and on-site or through a hybrid cloud ecosystem.
With respect to Metaco, solid security-crucial covenants such as KYOK are required to safeguard customer data while negating the threats from hackers. Regarding the partnership with IBM, Metaco CEO Adrien Treccani has stated that the partnership will pave way for the company to ensure high levels of safety for their customers as they build products and services in the cryptocurrency domain.
Seamus Donaghue, vice-president of strategic partnership at Metaco underlined the manner in which cryptocurrency management platform will assist banks and other financial institutions to fulfill regulatory guidelines. He said:
“The fiduciary obligations of asset managers require them to externalise custody to regulated custodians. Our multi-custodian solution enables them – with a single integration into their core infrastructure – to seamlessly manage and diversify risk across multiple custodians all under a holistic risk and control framework.”
As per Donaghue, the firm’s offering also gives the additional benefit of able transfers of digital assets from safe lockups. The Metaco executive said “The orchestration can be parameterized to leverage trusted address books and the secure workflow automation to facilitate instant but secure movements as required. In this manner, a firm can be confident that its assets are always safe but can respond to rapidly moving markets.”
Last December, Donaghue stated that regulatory transparency for cryptos is paving way for an increasing involvement of institutions in the digital asset domain. In fact, considerable breakthroughs happened last year, with banks and financial service providers entering into crypto domain, specifically in custodial service.
