One of the most important features of any project being worked on for the cryptocurrency industry is security. All related firms including manufacturing companies, exchange firms and even the makers of the cryptos themselves are always looking for new ways to not only make transactions as cheap as possible but also to ensure privacy and make these transactions a lot more secure. This is exactly the case for the parent company of the “big four” accounting firms, Ernst & Young (EY).
EY, the multinational professional services firm with its headquarters in London, England, has just revealed its plans to publicly release its private transaction protocol framework with zero-knowledge proof (ZKP). This announcement was made on the firm’s official website stating that the protocol will be made public so as to help with security and privacy of transactions for public blockchains.
Background of the Prototype
In October 2018, EY announced the launch of its EY Ops Chain Public Edition (PE) which is the first use of the ZKP framework on the Ethereum blockchain. According to the post on the EY site, “this technology is a first that will allow companies to privately and securely create and sell product and service tokens on a public blockchain with private access to their transaction records.”
Ever since last year when the initial protocol was launched, EY has continued to seek out better ways to increase the efficiency of the technology with regards to both security and scalability. Consequently, there has been a tremendous success with the endeavor as EY has successfully reduced transaction charges by as much as 90%.
On Releasing the Technology to the Public
The Global Innovation Leader for Blockchain at EY – Paul Brody – explained that making the technology public is the best way to ensure not only its spread but also its constant development by EY. He said:
“Making public blockchains secure and scalable is a priority for EY. The fastest way to spread this privacy-enhancing technology was to make it public. The gold standard in security is only achieved with the kind of intense review and testing that comes with public domain releases.”
The technology will ensure that transactions on the Ethereum blockchain would be more private and secure. It will also support both ERC-20 and ERC-721 token standards on this blockchain.
Furthermore, even though institutions would still be able to give auditors all the necessary information for a proper audit, the technology will make sure that all transactions are private and the data given to the auditors will not contain more information than necessary.
Currently, the teams at EY are doing final checks and reviews on the technology but it is expected to be fully released publicly sometime within the next six weeks.
BNB or ETH?
It has been speculated by a few people that BNB could replace ETH in the future because of the tremendous growth of the former, especially now that Binance has announced its own Binance Chain. However, Changpeng Zhao – founder of Binance – has responded saying that the Binance chain and its decentralized exchange platform “does not challenge Ethereum, it doesn’t even have smart contracts.”