Cryptocurrency exchange Coinbase has bought San Francisco-based company Distributed Systems, as reported via a blog post.
Distributed Systems, a digital identity startup based in San Francisco, now belongs to the crypto trading platform Coinbase. B Byrne, Coinbase Identity Project Manager, revealed in a blog post that the acquired company has previously worked with “decentralized identity solutions”. Following the acquisition, the startup’s five members will join the Coinbase department that takes care of digital identity tools.
Byrne pointed out that using blockchain technology, users will have full control over their virtual identities, while the company will ensure data security.
Identity Project Manager went on explaining:
“Every time you want to prove who you are with your SSN, you need to give away a copy of it. That copy has exactly the same power as the original, so when there’s a data breach with copies of your data it puts your identity at risk. A decentralized identity will let you prove that you own an identity, or that you have a relationship with the Social Security Administration, without making a copy of that identity.”
“If you stretch your imagination a little further, you can imagine this applying to your photos, social media posts and maybe one day your passport too,” he added.
Even so, Californian cryptocurrency exchange giant does not seem to rush to implement new digital identity tools, as Byrne mentioned. According to his statement, the company intends to “deliberate on how and where we apply this technology.”
On the same day the acquisition was announced, Coinbase revealed that it is ready to add support for Ethereum Classic (ETC). Following the statement, ETC increased by 19% in its value. Starting tomorrow, crypto users are able to buy and sell Ethereum Classic both on the company’s website and mobile app.
Starting at 5pm PT tomorrow, Coinbase Consumer customers will be able to buy, sell, store and use Ethereum Classic (ETC) on https://t.co/pl8Hu0qDiW and through the mobile app. pic.twitter.com/Qd7KgYpE0y
— Coinbase (@coinbase) August 15, 2018
Author: Adriana Midrigan