California-based cryptocurrency exchange Coinbase has been busy this week with the design of a payment portal.
In a patent published by the US Patent & Trademark Office(USPTO) on August 14th, the digital currency exchange, Coinbase, is looking to create a payment portal with the goal to let users make seamless transactions directly from their virtual wallets using Bitcoin.
The patents states:
“It may be a security concern for users that the private keys of their bitcoin addresses may be stolen from their wallets…Existing systems do not provide a solution for maintaining security over private keys while still allowing the users to checkout on a merchant page and making payments using their wallets.”
The proposed system will utilize a “key ceremony“, which will generate key shares that are mixed with an “operational master key” secured with client’s 24-word passphrases. Once the keys have been make public, they can then be easily removed. You will also need this operational master key in order to confirm transactions will at the checkout.
The patent also includes a protective safeguard that automatically stops any transaction when the funds’ owner declines the order. This new feature is called “freeze logic“. The document is quoted:
“At any point in time after the master key is loaded, the system can be frozen. The system can be unfrozen after it has been frozen using keys from the key ceremony. The checkout process can be carried out when the system is frozen and when the system is unfrozen. The payment process can only be carried out when the system is unfrozen.”
In a tweet on August 16th, Coinbase stated the adoption of Ethereum Classic:
“Starting at 5pm PT tomorrow, Coinbase Consumer customers will be able to buy, sell, store and use Ethereum Classic (ETC) on http://Coinbase.com and through the mobile app.”