Israeli Crypto Developer KZen raised $4million from Benson Oak Ventures, Samsung and Elron, industry news outlet The Block reported on April 17.
The firm's product, smartphone wallet app ZenGo, which is now in the beta testing phase, targets to improve custodial wallet usage for entry-level Crypto users.
Till now also, various crypto users are getting the message, 'not your key, not your bitcoin', many users are still reminded of the stories of people who throw away their bitcoin-filled hard drives or having their savings stolen from used hard drives.
Currently, the process of having a private key and storing it at a secure place is very difficult. To resolve this, ZenGO, a mobile crypto wallet is building a unique cryptographic protocol to offer security and ease of use.
The company is expecting that users will take complete advantage from the simple wallet interface however not depending on third party or themselves to hold their private keys or information.
The firm targets to achieve this with the combination of split key storage and biometric security features which help to improve the process and also secure the wallet. The smartphone and the cloud storage are the basic sharers of information which is required by the user to sign in a transaction, this part of the set-up is known as threshold signature.
Ouriel Ohayon, who is a CEO and Founder of ZenGo said, "ZenGo uses open source threshold cryptography to replace the private key and all the troubles related to securely managing non-custodial wallets." He added:
“Our solution eliminates the typical friction points of onboarding and backup and does so without the existence of a single point of failure.”
The product is developed on a trend which Casa, a fellow custody startup started with its mobile app Keymaster. Casa, currently only supports Bitcoin, however, ZenGo doesn't limit its users to a particular coin, it supports a variety of altcoins.
About the security of the cloud server aspect needed for transactions to work, Ohayon told The Block that extra backup features will be available after launch. The private beta version of the app is available on iOS, as well as Android.