Securing Your Digital Assets Requires Careful Considerations

News, Opinion | August 15, 2018 By:

While there are many forms of securing digital assets, MOST utilize encryption for their basis. All have some advantages as well as disadvantages. The object is to pick the right choice for you, as an individual, that makes the most sense.

Most cyber experts would agree that assets, such as cryptocurrencies, should NOT be stored on exchanges, regardless of the exchange, for more than a short time. Today that is simply not a good practice due to both privacy as well as hacking and security concerns. Some believe that the best way to secure digital assets is in a hardware solution, which requires that it not be lost, damaged, physically misplaced or stolen. Hardware solutions are not at all convenient and require some degree of sophistication and techno skills, to utilize them. However, they do provide added layers of security due to being removed from an actively connected ecosystem.

Then there are paper wallets. No one can electronically hack and take the information from a paper wallet, but there is certainly the risk of loss, in a variety of ways, which make paper, for the medium or long term, not a good choice. That leaves electronic wallets. Well, to date, there is not a single wallet that experts agree on, that can be trusted. Even those that have claimed to be unhackable have been hacked in less than a few weeks’ time.

The world as a whole needs to understand the gravity of the situation and the challenge, to secure all types of digital assets and sensitive information.  The current methods most are using today are simply not good enough. The days of storing data in a vault, building a firewall or two around it, and then utilizing intrusion protection, simply are not stopping bad actors from successfully stealing what’s inside.f

One way to do that is to replace individualized data elements. At our firm, MicroToken Exchange, or MTE, facilitates end-to-end security, protecting data in rest as well as in transit. For Data At Rest, a MicroToken™ is implanted, replacing individualized data elements. It’s a solution others can’t duplicate. 

Once MTE or a similar solution is applied, all that would reside is non-sensitive data elements and the tokens,  which are placeholders that do not contain any part or piece of the original sensitive data. Such tokens are agnostic, and by not using any part or piece of the original data, cannot be reverse engineered. In the event of a breach through perimeter defenses, including after an encryption scheme is broken, there is no sensitive or secret data contained within that system to be exploited because it is no longer there. It has been removed.

The world both demands and requires a digital asset wallet, secured by an unassailable architecture. This is our proposed solution.