Paypal is serious about cryptocurrencies: this is what Curv offers, the company they just bought for about 200 million dollars
Paypal announces the purchase of Curv, for about $ 200 million according CNBC. An Israeli startup in the field of cryptocurrencies that represents a new step for Paypal in its recent and intense commitment to this sector.
Curv is a company that offers services aimed at solve one of the biggest problems with cryptocurrencies: their custody. To date, physical devices are used to act as security keys to enhance security. However, from Curv they offer a cloud-based solution to prevent theft of private keys.
Paypal buys Curv to improve cryptocurrency custody security
In October 2020, Paypal announced its intention to accept cryptocurrencies and take a leading role in the sector. During the last months we have seen some movements and announcements and the purchase of a company like Curv is one more confirmation that the company is preparing to have a solid ecosystem in cryptocurrencies.
“During our conversations with the Curv team, we have been impressed by their technical talent, entrepreneurial spirit and the thinking behind the technology they have built in recent years,” explains Jose Fernandez da Ponte, VP of Blockchain, Cryptocurrencies and Digital Currencies at Paypal. The company hopes that By the first half of 2021, the Curv team is integrated into Paypal.
We’re excited to announce that Curv is being acquired by @PayPal! Our technology and expertise in #digitalassetsecurity will help PayPal drive innovation in #blockchain, #crypto and #digitalcurrencies. https://t.co/skeZ2XnZ00
— curvmpc (@curvmpc) March 8, 2021
For cryptocurrency custody, digital wallets are usually protected with a private alphanumeric key. This key is sometimes stored in physical wallets. As an alternative, Curv offers a cloud method where it is key is distributed across multiple agents, applying technology based on blockchain.
The mechanism is called ‘Secure Multiparty Computation‘(MPC) and allows anyone with access to be able to solve the access calculations, while maintaining the privacy of the data entered. With this they allow easier access, but theoretically prevent an attacker from accessing the cryptocurrency portfolio.
Although they have an application for Android and iOS, Curv’s solution is more focused on institutions and other services. With this purchase, Paypal is strengthened in the face of its future plans to accept payments and purchases with cryptocurrencies.
Companies like eToro or BNP Paribas have collaborated with Curv in recent years. Itay Malinger, Akamai veteran and CEO of Curv, explains that “numerous traditional financial institutions” have already turned to Curv as an escrow service provider. A startup started in 2018 and three years later has been acquired by a giant like Paypal to reinforce its strong commitment to the cryptocurrency sector.
More information | Paypal