Bank of America Secures Patent For Blockchain Security

patent blockchain security network Bank of America

Bank of America has been granted a patent for a mechanism that regulates access to permissioned blockchain networks, according to reports emerging today from the U.S. Patent and Trademark Office.

The patent describes a system that would handle “security and access to resource sub-components,” detailing a method of using security tokens that would allow access to information within a specific block.

Furthermore, the system would be entirely automated, granting and monitoring access automatically as required.

The patent was finalized on May 22, and becomes the latest high-profile blockchain patent to be secured by Bank of America. It follows on from recent patents awarded for a corporate cryptocurrency exchange platform, as well as in excess of 20 other patents granted to the firm since 2014.

The system focuses on what is thought to be one of the most significant issues affecting the cryptocurrency and blockchain space, namely data privacy and security — particularly relevant for financial institutions processing highly sensitive consumer and commercial data.

In particular, the need to secure private keys from disreputable users has led to a raft of developments along similar lines, as developers look to identify new ways to strengthen privacy and security for blockchain.

The patent filing reflects this concern, that “with the advent of distributed/decentralized blockchain networks ... a need exists to develop systems ... that manage control over blocks of resources.”

Bank of America went on to explain the need for systems that could ultimately offer assurances over these key user concerns.

“A need exists to provide designated entities/users the ability to readily identify blocks that are relevant to the designated users’ concern and, once blocks have been identified, security features that assure that the designated entities/user that are accessing the blocks are, in fact, authorized users.”

The patent is the latest in a series of blockchain patents granted over the last few months, as global players seek to tie up IP protection for their research and development of blockchain technologies.

Thought to hold industry-disrupting potential in sectors as diverse as banking, agriculture, shipping and international aid, the race to secure valuable blockchain patents continues to gather pace.