Chain Inc., a provider of blockchain networks, has integrated a hardware security module from Thales, a provider of data protection solutions, to generate and secure keys used for blockchain transactions.
Chain developed its chain key derivation algorithm using Thales CodeSafe technology which provides the capability to move sensitive applications within the protected perimeter of the FIPS 140-2 level 3 nShield hardware security module.
The solution also incorporates cryptographic techniques that securely create temporary one-time keys for every transaction.
The Thales nShield Connect XC is a network-attached hardware security module (HMS) providing cryptographic services as a shared resource for multiple applications and virtual machines, according to the company website. The Connect XC safeguards mission-critical PKIs, SSL/TLS and other enterprise transactions.
“As Chain takes blockchain networks to production, we’ve invested heavily in the secure generation and storage of private key material,” said Ryan Smith, Chain’s chief technology officer. “The Thales nShield HSM offers a fast and efficient way to derive new keys. In particular, we were very impressed with the HSM’s CodeSafe feature, which allows us to run security-critical code protected within the HSM boundary. It’s a natural fit.”
“Blockchain is a game changer in the financial services industry, with the potential to enhance security, speed and operational efficiency,” said John Geater, Thales e-Security chief technology officer. “Our integration with Chain provides a strong root of trust and ensures the integrity of the underlying blockchain operations that enables organizations to build, deploy and operate blockchain-based transaction networks with confidence.”
Chain clients include Nasdaq, Citi and Visa.
In September Visa has rolled out VisaB2B, using blockchain technology developed in partnership with Chain to challenge the SWIFT messaging network as the dominant method for moving large sums across borders.
Using Chain’s software, Visa will enable banks to transfer value to each other using Visa rails as opposed to sending a message via a check or some other means to alert intermediaries to make transfers.
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