Benchmark Backs Bitcoin Secure Storage Provider Xapo

bloomberg.com

10 points·hendzen··10 comments

This article lacks so much information that it could just be said in one Tweet. Are the 'reporters' at Bloomberg so scared to attempt getting into the technical details ? A big of tech-insight would have been a nice read.

It's definitely interesting to note the phenomenal increase of money being thrown at those innovating on the edges of bitcoin. The financial world are starting to grasp the disruptiveness of the invention and now they want in.

From looking at their security, they're really going to need that insurance.

Care to elaborate?

4-digit PIN for login.

Yeah, and 2-factor auth is not mandatory...

The 4-digit PIN is pretty ridiculous, but just a quick look at their SSL Ciphers and their HTTP headers shows they're less than what would be considered best industry practice. Bitcoin-handling sites should exceed industry standards when it comes to security. They also mention when explaining how their vault works that they first receive Bitcoins and then take the computer offline. The computer with the private keys should never be online in the first place.

Well, I think the strategy is: Invest in insurance, not in solid security.

Inside sources: they only have $15m or so of insurance and it's all self insured. Not nearly enough to cover what they claim as "fully insured".

I'm curious how "xapo" is pronounced. Is it "zappo"?

think so

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