Bank of America Wins Blockchain Patent for Security Tool
The giant bank legally owns the innovation
The US Patent and Trademark Office (USPTO) has granted the Bank of America (BoA) the legal rights over a patent application.
The patent grants the Bank of America the legal rights over an innovation based on the blockchain technology. The innovation’s primary role is to control access to resources within the network. The network’s main goal is to control access, manage security, and resources associated with the bank systems. In the patent application the bank explained further saying:
“With the emergence of decentralized/distributed blockchain networks, there is a need to develop a system that will help in managing and controlling access of resources on these blocks. In addition to controlling access, the blockchain network and other security features will ensure only authorized users access the network.”
The financial industry facesa host of challenges. Hackers and rogue bank employees use loopholes within bank systems to steal from them. Nevertheless, through blockchain networks, banks can strengthen the security of their systems as well as control access to resources on the blockchain system.
How the patented system works
Within the network, banks will be able to control how and why users’ gain access to their systems. For security reasons, tags are created for clients to use when accessing specific blocks on the blockchain network. To access the network the user has to present certain keywords associated with the block. The keyword will then enable the client access the network. What’s more, there is a security feature in place which grants the users rights to accessing the resources on the block. After gaining access to the network, the client’s access is limited to a certain period. In the same vein, the network gives the bank the upper hand when it comes to granting clients access to their networks.
The development of a blockchain network for the financial sector will help seal loopholes and strengthen security. In the long run, the systems will prevent any authorized access to bank systems. This will help banks prevent loses incurred through hacking. The Bank of America is a mega bank with a lot of resources. Winning the patent gives it the opportunity to change how business is done in the financial sector.