Bitcoin, Crypto currency, Blockchain

Bank of America has secured a Patent for a crypto-currency exchange software

According to the official website of the U.S. patent and trademark office, the U.S. Patent and Trademark Office, has secured the Bank of America for a Patent on a crypto-currency exchange software. The Bank seems to be in order at least to keep open the possibility, in the crypto-currency market. An official statement on the part of the Bank of America has not previously been published.

In spite of the registration of the patent therefore remains open, whether the Bank of America wants to create a government Alternative to private crypto-currency exchanges, such as Bitfinex, Bitrex, and co., or whether the patent application is purely for research purposes. Already in 2014, the Bank had filed a Patent for a transmission software, which allows by means of a crypto-currency transactions across national borders as a “transport medium” (similar to the Ripple technology). Ultimately, the Patent has not been used but (so far).

How to operate the crypto-currency exchange software?

Simply put, to convert the Software is fully automated a digital currency to another digital currency. The basis for the exchange rate to external data Feeds.

In the Patent it describes in Detail the three layers. The first layer represents the customer’s account. Accordingly, the user would be able to store their crypto currency and manage.

On the other two layers, or accounts, only the Bank can access. The second account, a “Float account”, would act as the go-between for the customer-selling crypto-currency, while the third account, would also have a Float account, the equivalent amount of the converted crypto-currency. The third account would then transfer the converted amount to the customer account.

According to the patent application, this Service should be offered only to corporate clients and not individuals.

The patent application of the Bank of America falls in line with the increasing interest from institutional banking to crypto currencies. In the past few months, including the CME, CBOE and Cantor, with Bitcoin Futures, as well as the Shinhan Bank from South Korea with the development of their own crypto Wallets in the headlines.

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