Coinbase’s Patent: A New Standard in Bitcoin Security

Coinbase’s Patent: A New Standard in Bitcoin Security

What is the New Coinbase Patent?

Coinbase registered a patent quite recently which allows them to make online payments much more secure to reassure people who buy Bitcoin Coinbase. This move comes after many users in the cryptocurrency world were facing issues with accounts being hacked. Unfortunately, it was all pretty easy for hackers to access the private key but with this patent, that will change. Coinbase hopes that users will be able to realize that the payment systems are much more secure and will trust the platform in the coming years. The patent relates to how the private key in transactions can be masked, with pretty much no vulnerability. It suggests the use of an operational master key for private key decryption during the checkout process. Moreover, it includes the creation of an API Key for web applications to communicate with a service.

A key ceremony application creates bundles for custodians encrypted with their passphrases. Each bundle includes master key share. The master key shares are combined to store an operational master key. The operational master key is used for private key encryption during a checkout process. The operational private key is used for private key decryption for transaction signing in a payment process. The bundles further include TLS keys for authenticated requests to create an API key for a web application to communicate with a service and to unfreeze the system after it has been frozen by an administrator.

What is Coinbase?

Coinbase the world’s leading exchange in crypto currency and fiat currency. The platform has been a standard in the industry ever since it came out. It’s widely known the first broker people use when introduced to cryptocurrencies. The platform is quite intuitive and easy to use, beginners who are adventuring into the world of Bitcoin will find it’s very informative and reassuring. The Bitcoin broker has been one of the most popular and prominent in the industry since Bitcoin came out. The company recently got more funding, making it the first blockchain industry unicorn. The website was already pretty secure, now setting a new standard in the industry. Coinbase also has a digital assets exchange, called GDAX, a regulated platform that allows institutions, professionals and the average joe to trade bitcoins. You can buy Bitcoin Coinbase pretty securely now, considering you have the following security measures in place.

The most secure way to Buy Bitcoin Coinbase

Coinbase is a trustworthy exchange. Big media such as The Wallstreet Journal, Bloomberg and New York Times back Coinbase. Also, Coinbase is regulated in the US. Moreover, it has many security measures in place in order to secure your bank credentials and your online wallet. Coinbase cuts off sensitive data off its networks and then encrypts them to paper backups and USB drives. Coinbase keeps them in deposit boxes around the world to ensure no breach is possible. All accounts need to have 2-factor authentication on Coinbase. Therefore, you need to connect your mobile phone while creating your account. 2-factor authentication is essentially a text that you would receive on your phone. which includes a code that will be used to verify any transaction that you carry out on the website. That makes sure that a hacker cannot enter your online wallet and send your money to different accounts. All of these security concerns and measures make sure that Coinbase is quite safe to use for the average Bitcoin enthusiasts.

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About Article Author

Michael Serrano
Michael Serrano

Michael is an engineer and a bitcoin evangelist. He has been involved in cryptocurrencies since 2013. His biggest wish? 1 billion users of bitcoin, ether and litecoin by 2020. In the last 10 years he has worked for various early-stage start-up as a back-end developer.

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