Dmitry Tokarev, the creator of crypto custodian Copper Technologies Ltd., has formed a new firm, Bron Labs, to address the issue of retrieving lost wallets while maintaining self-custody, Bloomberg reported.
Bron Labs, situated in London, provides a self-custodial platform that brings institutional-level security to individual users. Tokarev told Bloomberg that the startup collected $15 million earlier this year from about 140 investors, including LocalGlobe, Fasanara Digital, and GSR.
The platform is designed for professionals and executives who want the same degree of safety as major financial institutions but at a lower cost.
Recover lost wallets
The system addresses the seed phrase loss issue. Most digital wallets use a 12- or 24-word recovery phrase to serve as a master key. If a user loses it, the money is lost permanently. Bron’s solution proposes a “guardian-based recovery” approach.
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Users designate two trusted guardians when they open a wallet, and these guardians must authorise any recovery requests.
An additional layer of security against coercion or theft is provided by a mandated 48-hour wait that starts when payments are authorised. The rise in physical attacks on cryptocurrency holders has increased the demand for improved security.
Quotes from the leaders
The goal of Bron, according to Tokarev, who resigned as CEO of Copper in October 2024 but is still the company’s biggest shareholder, is to “bridge” the gap between the security of professional-grade solutions and the ease of self-custody.
This week marks the public launch of Bron, which offers monthly membership levels ranging from $20 for individuals to $3,000 for small organisations. A utility currency that, when kept in a Bron wallet, can replace subscription fees was given to early backers.
In order to discourage hackers, the platform also has programmable transaction limits and biometric security, which let users restrict big or frequent transactions.
Crypto wallet hacks
This comes when crypto wallet hacks are on an increasingly alarming level. Cryptocurrency hackers took advantage of Metawin’s “frictionless withdrawal system,” and the well-known cryptocurrency casino recently suffered a large loss. To remove coins from Metawin’s Solana and Ethereum hot wallets, they launched an assault.
In late August, Vitalik Buterin sent 0.01 ETH from his publicly known account to a Hinkal address on Ethereum to test Hinkal’s new Invisible Wallet. The action involved a live check of a wallet that conceals on-chain information.
Therefore, security has become a major concern in the cryptocurrency industry, given that the number of hacks and scams is growing at an alarming rate this year.
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