A new security standard for digital assets is in town. Liminal Custody, a digital wallet and custody infrastructure platform, and Securosys, a Swiss cybersecurity and encryption specialist, have jointly launched Liminal HSM Vaults.
The new joint venture is an institutional-grade solution designed to meet the security, control, and compliance demands of banks and enterprises entering the digital asset market.
So, what does Liminal HSM Vaults echo?
Traditional banks are increasingly flocking to decentralized finance. It is at this time of the era, Liminal HSM Vaults launch comes. To make it simpler, a Liminal HSM vault, or Hardware Security Module vault, is a secure digital storage system for digital assets, including cryptocurrencies. This system is specifically built for banks and large companies.
The new service combines Liminal’s patent-pending Multi-Party Computation (MPC) authorization protocol with the proven security of Securosys Hardware Security Modules (HSMs).
While MPC technology approves transactions by covering private keys on Liminal, Securosys HSMs (physical hardware) safely store and manage private keys.
According to Boston Consulting Group, banks are projected to hold/manage over $10 trillion in digital assets under management (AUM) by 2030. This huge growth means institutions like banks need very secure systems to manage their digital assets.
Importantly, such institutions need certified enterprise-grade security systems because more money in digital assets is flowing in, and that’s why Liminal HSM Vaults are quite important here. Besides the projected $10 trillion growth in institutional AUM, the global HSM market is gearing up for 14.6% growth per year through 2030.
Flexible devices, trusted transactions
To add flexibility and security, Liminal HSM Vault allows institutions to use both online and offline devices for approving transactions. Before the transaction is approved, compliance, security, and custody teams from institutions can also be a part of the process to prevent mistakes or malicious actions.
The vault system also creates proofs or receipts for every transaction approval to check if it is real and legitimate, and complies with the institution’s regulations.
Executives enhance security for digital assets
Following the launch of Liminal HSM Vaults. Mahin Gupta, Founder and CEO, Liminal Custody, underscored: “With Liminal HSM Vaults, we have combined the static security of the HSM with the distributed security of MPC to deliver a solution that stands apart. Our banking and enterprise customers can now manage digital assets with the level of confidence, control, and assurance they expect from mission-critical infrastructure.”
For Robert Rogenmoser, CEO of Securosys, the new initiative “delivers the security, governance, and cryptographic trust that banks and enterprises need to scale digital asset services responsibly.”
