Ripple, the blockchain based fintech services platform, has announced new developments that can protect banks from hacking incidents. The development comes amidst growing thefts against multiple banks across the world.
Ripple’s solution for secure transactions involves the introduction of multi-sign feature to the Ripple Consensus Ledger. The thefts were conducted by hackers who gained unauthorized access to the banks computers and used these compromised systems to transfer funds from the banks to offshore accounts. The funds were transmitted over the inter-bank transaction network – SWIFT.
By implementing the Ripple Consensus Ledger with a multi-sign feature, the banks will be able to have more control over cross-border fund transfers. The multi-sign feature will make it compulsory for those initiating bank transfers to gain authorization from multiple parties before it can be executed. Apart from maintaining accountability, the multi-sign feature will also add additional burden on the hackers as they would have to break into multiple systems in order to authorize fund transfer from the bank to their accounts.
Among the banks that lost funds due to the vulnerability in SWIFT Network includes the Central Bank of Bangladesh, as well as banks in Vietnam, Ecuador and Ukraine.
“The bank heists in Bangladesh and around the