For the thousands of people worldwide who work for Bitcoin or would like to get paid in Bitcoin, security is of great importance. Bitwage has spent the last two years creating an innovative Bitcoin payment option for those who would like to get paid in digital currency, but their employer is behind the payroll curve. Smart companies increase security measures before there is a problem, and BitWage wants to increase security and peace of mind in their current and future customer base by ramping up security in 2016.
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With the help of our security expert, Joel Weise, former CTO of security for Sun Microsystems, BitWage is releasing a state-of-the-art security policy for all funds under their control. Aligning with the most recent ISO and NIST security protocols, BitWage is enacting several ways to increase overall security. Banking-grade encryption of user data, strict password management policies, two-factor authentication for all sensitive data and processes, and annual audits that include a physical audit of our business headquarters address are now a part of BitWage’s latest security upgrades.
DCE Brief spoke with Jonathan Chester, President of BitWage, and discussed these security improvements and how this will help Bitcoin wage-earners everywhere.
“We are constantly upgrading our services to face the constant threats of cyber warfare,” Chester tells DCE Brief. “We have always made sure to have enough funds in reserve to be able to cover any potential losses, but now our customers can know that we have gone above and beyond these policies to ensure the safe delivery of their wages. We have obtained insurance against cyber-attacks from a top-rated insurance carrier with an AM Best Rating of A and above.”
Unlike a common Bitcoin exchange, Bitwage does not store an inventory of Bitcoins, nor do they hold customer funds, only holding funds for only a very short time to further lower the risk of loss.
This increase in network security is in line with similar moves by other industry leaders like Coinbase and Xapo, who go to similar lengths to insure consumer funds against loss. BitWage is looking to fortify their top position in global Bitcoin employee payment and are operating from a position of strength, improving even without market competition.
“By leveraging bitcoin and the blockchain, we're able to achieve much faster and cheaper payments than traditional financial technology companies. In terms of blockchain companies, the market is big enough for us all to get our own slices in our own verticals.”
After the flurry of Bitcoin exchanges that went under in 2014, taking consumer funds with them, increases in corporate security are being addressed by companies that are true long-term players. BitWage is looking to increase consumer trust while expanding their market reach with third-party insurance as the first of many upgrades for 2016.