Securities token platform INX has launched a wallet with compliance features for institutions, according to a May 3 announcement. The new wallet was created in partnership with wallet infrastructure provider BitGo and uses multi-party computation (MPC) technology.
INX now collaborates with @BitGo to enable institutional #investors to fully and confidently participate in the #security #tokens market and the greater digital economy: ⤵️https://t.co/AbpdS86lYk
— INX (@INX_Group) May 3, 2023
INX securities tokens exist on the Ethereum network and follow the ERC-1404 token standard. The standard was created in 2018 to allow for compliance-friendly Ethereum tokens. These tokens can only be transferred between users that have passed identity verification with a participating institution.
The new wallet allows institutions to comply with cybersecurity and custody standards in the financial industry when holding INX securities tokens. No single person is given access to the private key that controls a given account. Instead, the key is split into three or more “shards” that have to be combined to sign transactions, a process called multi-party computation (MPC).
According to the announcement, the wallet also contains features to make employee access privileges easier to manage. Companies can task different employees with different roles, such as “viewers, spenders, approvers and administrators.” They can also segregate clients’ assets by splitting up funds into multiple wallets and giving “approver” privileges to each individual client. This allows institutions to give their clients more control over their individual accounts, the announcement said.
Lisa Jowett, head of platform sales at BitGo, said she thinks these new features will help make institutional investors more comfortable using Web3 technology:
Our wallets can connect to and interact seamlessly with INX. One without compromising on security or reliability. This will unlock new possibilities for investors and serve as a gateway for institutional adoption of Web3.
INX reached a major milestone on April 3 when it launched its first equity token from a public company, Greenbriar Capital (GEBRF). Its chief business officer, Douglas Borthwick, has argued that eventually “all assets will migrate to the blockchain.”
The company is registered with the Securities and Exchange Commission as a broker-dealer within the United States. Some industry experts have argued that the U.S. doesn’t have clear enough crypto regulations to allow most crypto exchanges to gain this designation.
Disclaimer: CryptoNewsBook is an online aggregator that fetches latest crypto news from different sources. This article is provided for general information purposes ONLY and contains data fetched from third party sources; hence, we do not endorse its accuracy. For more details, kindly visit The Source. Please report any fake news or false statement to Our Support Team. If you are the original owner of this content and wish it to be removed on this platform, kindly forward your request to Our Support Team.
Also Note: Cryptocurrencies are unregulated, and no part of this article should be understood nor interpreted as a recommendation/advice. #s1