Established automated crypto trading platform Cryptohopper and Tide Foundation, an open source privacy technology venture have announced a partnership to pilot a new standard of advanced keyless trading.
Established automated crypto trading platform Cryptohopper and Tide Foundation, an open source privacy technology venture have announced a partnership to pilot a new standard of advanced keyless trading.
“Not your keys, not your crypto” is a mantra for how crypto holders’ should govern the handling of their crypto-assets. Unfortunately, the current reality often necessitates compromises to that philosophy for crypto traders.
Today’s announcement ushers in a new era in cryptocurrency trading, which will enable advanced trading strategies to be automated on decentralized exchanges (DEXs), without the need to store the cryptographic private keys.
Trading on decentralized exchanges allows peer to peer trading via smart contracts, offering better transparency leading to greater security and asset sovereignty. However, the need to sign every trade severely limits the practicality of automated trading strategies.
“The collaboration combines Cryptohopper’s next generation automated trading platform, with Tide’s Decentralized Automated Trustee key management technology, to execute trades on DEXs using real-time data, with traders remaining the sole custodian of their keys and assets.” Issac Elnekave, Co-founder Tide Foundation.
How is this achieved? As part of a suite of privacy protection infrastructure, Tide has developed a Decentralized Automated Trustee (DAT), a distributed network of unaffiliated operators that acts as a trustless custodian and power of attorney for a cryptocurrency account. No single node (or subgroup) in the network has any access or knowledge of the entire account’s key, or the authority to act on its own, rendering malicious access to the key virtually impossible. Using secure multi-party computation, these nodes act as a swarm to perform functions with the authority of the key on the account’s behalf, based only on their predefined parameters on the blockchain.
“Tide’s technology removes the UX barriers of today’s solutions without compromising on the security and principles of decentralization. It provides our platform the availability we need, without the unnecessary risk of holding customer’s keys or funds.” Said Ruud Feltkamp, CEO CryptoHopper.
Cryptohopper’s automated trading platform used by over 165,000 traders offers the most comprehensive suite of trading tools on the market, with advanced capabilities like Copy Trading, Market Making, and Exchange Arbitrage.
Following a successful pilot, their trading platform can be extended to recommend trades that match a trader’s strategy to their DAT, who will sign those trades on behalf of the trader as long as it complies within the approved parameters.
“Cryptohopper’s commitment to the privacy and security of their strong community, along with their superb growth, provide a brilliant platform to share our technology.” Said Elnekave.
