Developments

TokenSoft launches cold storage custody service for security tokens

TokenSoft has launched the first cold storage custody service that will specifically cater for security tokens. In an announcement made earlier today, the company has launched a beta version of the new wallet dubbed Knox to all its existing customers.  

The wallet will allow companies to maintain a self-custody multi-signature system for different crypto coins and security tokens. According to Mason Borda the co-founder of the company, the wallet “provides the highest level of security when it comes to storing digital securities, which [are] newer to the market. The digital asset industry’s been comfortable with storing [coins] for the last few years, digital securities are kind of new ground.”

He went on to explain that security tokens are different from cryptocurrencies as they tend to be more centralized with built-in restrictions for traders. Also, security tokens tend to back assets like real estate, debt or equity.

According to Borda, Knox wallet is the first custody solution for security tokens.

“I think it’s a key piece of infrastructure that the industry has ignored up until now, and this puts it on the map as a key piece of infrastructure that’s necessary to service digital securities.”

The wallet will have the ability to hold a variety of tokens including ERC-1404, ERC-20, ST-20, DS-20 or Habour’s R tokens. Additionally, it will also support BTC and ETH even though Borda emphasized that it would focus on security tokens rather than digital currencies.

Knox was initially developed in 2017, and over the past year, a few selected customers had access to it. Now the wallet is “production grade,” and it will be availed to the general public in the coming months.

The wallet also boasts some impressive security features including cryptographic authentication, offline cold storage and the ability to allow multiple people to authorize or execute transactions.

What’s your take on the digital wallet designed to store security tokens? Share your thoughts in the comment section below.

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Basil has three years of freelance experience writing on disruptive technologies. He focuses on breaking news and education pieces; helping to spread the gospel of Blockchain. He hopes to have his own blockchain company one day; helping the world through its innovative ledger technology.

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