Bank of America Files Patent for New Partitioned Crypto Wallet

Bank of America crypto wallet cryptocurrency digital security

Bank of America has filed a patent application for a new type of crypto wallet, which would be secured by a “partitioned system” of access.

The model described in the application would give users greater control of their funds, by creating independently secured vaults within a single crypto wallet.

The U.S. banking giant filed an application with the U.S. Patent and Trademark Office back in February 2018, with the details being made public for the first time this week.

The application, titled “Multi-Tiered Digital Wallet Security,” lists the bank’s senior tech manager, Manu Kurian, as the inventor of the system.

According to the text of the application, the multi-tier access function could help improve the security of funds stored in crypto wallets.

“Through the digital wallet interface, a user of the user computing device may be able to partition digital currency holdings into one or more differentiated storage compartments or tiers. Each of the one or more compartments may be password-secured and may only permit access to the amount of digital currency holdings specified by the user.”

The system has been likened to a valet key, which can open car doors but not the trunk. In the same way, the application describes a wallet with different password-protected segments or compartments, each storing a separate amount of cryptocurrency, within the same wallet.

As per the application, the system would help improve security while reducing the reliance on single private keys, which are often lost and irretrievable.

The patent application is only the latest to be filed by Bank of America, with the banking group emerging as a prolific filer around blockchain and crypto technologies.

To date, the bank has secured some 31 patents relating to blockchain technology, with a further 31 applications pending.

The latest filing is another example of crypto payments being taken seriously by mainstream finance — in this case, one of the world’s largest banking groups.

As cryptocurrency continues to approach mass consumer usage, new infrastructure like the Bank of America crypto wallet is expected to offer users more flexibility in managing their cryptocurrency holdings.