Bank of America’s Newest Cryptocurrency Patent is a Vault Storage System for Enterprises
Bank Of America Files Patent to Further Goals of Cryptocurrency Storage
Based on public documents that were published by the U.S. Patent & Trademark Office (USPTO), Bank of America has initiated another application. The second-largest banking institution in the country wants to provide a management system for storing cryptocurrency within their company. Lately, the company has been working on educating themselves about the requirements for institutional organizations that want to secure private keys.
The detailed document discusses how Bank of America plans on using a computing device as a method of managing the tags for blockchain encryption, but this is not new technology for them. In fact, they already had submitted a proposal in 2014 to develop an online vault storage system for cryptocurrency.
In the patent, Bank of America demonstrates how they want to be part of the efforts to make cryptocurrency a mainstream option for the public. However, by making their database a safe place for these types of transactions, consumers can have all the trust that they have with their bank and will not have to keep up with a private key.
The writers of the patent application wrote,
“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 securely store cryptocurrency.”
Bank of America is in good company with Walmart and IBM in their work to invest in blockchain research for widespread adaption. Blockchain technology seems to be much easier for the public to accept than cryptocurrency, but the goal is that this advancement can be used as an eventual segue for cryptocurrency. There have been many applications for blockchain patents from Bank of America through the years, including a bundle of 10 new patent application at the end of December 2015. Some of those patents applications cover requests to advance on subjects like:
- External data validation
- Blockchain security tools
- Blockchain file processing system technology
- Wire transfer systems
- Electronic payment systems for cryptocurrency
- Cryptocurrency transformation system
Coinciding with the online vault, there is a patent in place for a cold storage system and systems that would allow users to make payments with crypto. The systems would even convert the coins to the right currency in real time.
Still, consumers have to remember that Bank of America still has a history of criticizing Bitcoin and similar tokens, which may be why they are wanting to take the reigns in some part of the crypto industry. They have called Bitcoin “troubling,” urging investors to lose their enthusiasm. Their policies that are currently in place also specifically state that no credit cards under their name can be used for the purchase of any crypto token.
If Bank of America manages to produce a better transaction system, due to their background, it is possible for cryptocurrency to become safer, though it could lose decentralization like this as well. For now, the bank has already admitted the threat that cryptocurrency poses to their current business, so only time will tell how this eventually plays out.
Could Bank of America become a Bank of Cryptocurrency as well, or will these two opportunities remain segregated?