GSR announced its partnerships with Interhash on December 20. GSR facilitates liquidity and exists as a digital asset market maker. While Interhash offers mining services through its strategic partnership with the manufacturer Canaan. Together, they are set to provide the crypto industry with more stable options to manage volatility.
As cryptocurrencies move into a more mature stage of their development, investors and businesses alike are seeking out stability. This is an important sign of the young industry’s growth. While crypto still has a long way to go, the news adds a lot of confidence for the masses to migrate over to the Internet of Value.
The partnership comes on the brink of some very impactful events. For instance, the US Congress just released its proposal for the Crypto-Currency Act of 2020. There are also ongoing developments of major blockchains like Bitcoin’s Lightning Network and Ethereum’s second generation system.
What crypto does is assigned a real value to digital assets. This is a stark contrast to how digital records are kept today. Security follows an entirely different philosophy. The functionality of decentralized crypto is woven into the blockchain itself. This is not the case with even the most prestigious tech companies of today.
Regardless of the size and resources of a corporation or government entity, their mechanisms for handling online security is essentially the same. It is a top-down structure with a single point of failure. Any such system is hack-able, and worse yet, must trust that the entrusted individual(s) will not be the ultimate compromise.
Essentially, blockchain turns the whole model upside down. It makes every participant of the system a part of the security and decision making processes. This is the nature of distributed ledgers, that everyone with the means of obtaining the requisite hardware and running it, is capable of maintaining a copy and validating the system.
As one might imagine, bringing these systems to order is a convoluted task. Development has been ongoing for a decade now and is consistently making headway. This partnership between GSR and Interhash illustrates another important step forward.