Bank of America Awarded Patent for Cryptocurrency Storage Account

Bank of America patent cryptocurrency blockchain bitcoin ethereum

Bank of America has secured a patent for a cryptocurrency storage system, the latest blockchain patent application to be successfully filed by the finance group.

The patent describes a system which would allow institutions to store cryptocurrencies securely on behalf of their clients, through a single account customers could access directly.

The patent filing, published by the U.S. Patent and Trademark Office this week, outlines a mechanism for holding cryptocurrency in a single “master” enterprise account, stored securely on behalf of any number of individual customers.

The model describes how the funds could then be credited on a separate customer account ledger in respect of each individual customer, while still remaining stored within one larger, secure account.

“Enterprises may handle a large number of financial transactions on a daily basis. As technology advances, financial transactions involving cryptocurrency have become more common. For some enterprises, it may be desirable to aggregate cryptocurrency deposited by customers in an enterprise account.”

The system described in the patent includes memory for storing private keys and a processor component, which would combine to provide crypto storage and transaction facilities from a single account.

The technology would also enable end customers to transact from their cryptocurrency account directly, with the balance reflected in the master account, effectively removing an accounting layer while allowing for efficient, direct transactions on the blockchain.

With Bank of America prolific in blockchain research and innovation, the patent is the latest in a series of similar patents awarded to the bank around new use cases for distributed ledger technology and cryptocurrency.

In the last few weeks, it was announced that Bank of America had secured a patent for a system of storing cryptographic keys on a hardware device, as the group continues to bolster its blockchain IP.

The cryptocurrency storage system would primarily serve cryptocurrency services such as exchanges and custodians, at a time of growing interest in the wider crypto sector from institutional investors.

This latest application confirms Bank of America’s ongoing commitment to developing blockchain services and solutions, along with countless others among the world’s largest banks and financial services companies.