24 Nov 2018 Anthony Lehrman
VNX and University of Luxembourg Partner Together For Higher Crypto Security
The Luxembourg-based company claims to be building the world's first secondary market for tokenized venture capital funding by utilizing blockchain innovation. Established in 2017, the trading platform became a member of Luxembourg’s APSI (L’Association des Professionnels de la Société de l’Information), Infrachain and Luxembourg House of Financial Technologies (LHoFT).
The Founder and CEO of VNX, Alexander Tkachenko, commented: "In creating a secure and regulatory compliant marketplace for the transparent trading of tokens representing digital assets we aimed to introduce modern security mechanisms that could secure our platform and could impact the global cyber security market."
He predicted that the result from the partnership could reduce the worldwide expenses for cybersecurity with 50 percent.
Scientists at the University of Luxembourg's Interdisciplinary Center for Security, Reliability, and Trust (SnT) plan to make a safe exchange platform by developing a higher security system for crypto resources.
Dr. Radu State, master in system security at SnT, stated: "We have to address two viewpoints – securing the system against offenders who may try to hack the framework to take assets or data, and ensuring consistency with anti-money laundering mechanisms and KYC regulations."
He said there were "uncertain difficulties" for heterogeneous frameworks that issue tokens on the blockchain.
For example, security at the "software layer" needs to guarantee there are no vulnerabilities in the contracts that control the execution of individual transactions over the blockchain. There also should be better security on the blockchain network itself and the database.
"I trust that blockchain innovation is the next huge advancement in financial development," included Tkachenko. He also noted that the exchange’s development would need investor protection, compatibility with current standards and regulatory clarity.
In October, the Luxembourg-based Bitstamp – claimed as the first entirely legal crypto exchange in Europe – was acquired by South Korea’s NXC Corp. subsidiary, NXMH.
Although trading volumes have declined with more than 60 percent this year, and no more than 4 percent of Luxemburg’s residents own some cryptocurrencies, Bitstamp’s CEO noted that trends show more and more users are willing to hold and trade with cryptos themselves.Blockchain crypto VNX University of Luxembourg crypto security