Accenture launches private key storage solution to help secure blockchain deployment

Accenture has debuted a new blockchain hardware solution for private key storage.

The professional services giant developed the solution in partnership with Thales, a French company specializing in cybersecurity, aerospace and defense.

This solution uses Hardware Security Modules (HSM) to store private keys (digital information used to sign blockchain transactions) to ensure the security of enterprise-level blockchains. More specifically, Accenture uses nShield, an HSM product developed by Thales.

An Accenture representative said in an interview that this new product is mainly aimed at banks and other financial institutions, allowing them to enjoy the advantages of blockchain technology without having to worry about security issues.

Simon Whitehouse, head of blockchain technology at Accenture, said:

Our solution is a form of physical security that banks have relied on for decades to keep their currency and transaction records safe. Not only banks, but this solution can help governments, insurance companies, healthcare providers and other institutions to safely deploy real-world use cases of blockchain technology.

It is worth noting that the product launched by Accenture can alleviate the concerns of regulators. Regulators in many countries, including the European Securities and Markets Authority (ESMA), have said that security issues are a major obstacle to the popularization of blockchain.

ESMA said in a report released yesterday that after a year and a half of investigation and research, the department will not introduce any new regulations on blockchain applications. They believe that blockchain applications are still in the early stages and therefore do not need to be regulated. The department also mentioned that the security of private keys is a real problem at present.

ESMA wrote in its report:

ESMA believes that in the distributed ledger technology (DLT) environment, the security of private keys is crucial because once lost or stolen, private keys can easily be used for illegal purposes.