Bitcoin Startup Circle Debuts Its Free Virtual Currency Banking.
A Bitcoin currency service startup founded during 2013, Circle has finally emerged from its stealth mode on Friday, while launching a site of consumer financial services that bank on the belief that it can take the cryptocurrency mainstream. The state goal of the startup’s free product is addressing “the terrifying complexity and risk” that many people have come to associate with the digital currency.
Bitcoin has become subjected to a whirl of of crazy value fluctuations in the past couple of years, soaring from an exchange value of $2 a share during 2011 to about $1,000 during the previous fall. Rather than facilitating speculation in the digital currency, Circles Web platform is intended to allow user to create accounts for everyday exchange of Bitcoin.
“Our goal is to make it easy for consumers to deposit and convert currency into a digital form that they can then use globally and instantly, not offer a trading exchange where they can bet on a speculative asset,” Circle CEO Jeremy Allaire explained in a company blog post.
As Alliare elaborated, customers will be able to deposit local currency into an account that converts the funds into Bitcoins and stores it for them without incurring any fees. Funds can then be used to sent and receive globally in their virtual form. Upon withdrawal, bitcoins will be changed back in to local currency and transferred to a bank.
In order to gain the confidence on its consumers when it comes down to the security of its platform, Circle stated that it has instituted several features and processes to defeat the possibility of fraud of theft. The startup says its network infrastructure has been pressured tested by cyber security company as well as black and white hackers who have tested the system’s defenses.
The company has also stated that it’s employing “military-grade” encryption keys and keep funding in offline “cold storage’ vaults it says are inaccessible from malicious beings.
“We maintain several geographically distributed secure vault facilities protected by multiple layers of access control, monitoring and armed guards,” Allaire wrote.
To further sooth consumers fears, the startup notes that it’s regulated money transmitter within the US and promises that deposits made on its platform are fully insured, meaning that if a security breach results in the theft of funds, its customers are protected from loss.