Israeli Startup Creates Offline Crypto Wallet with Online Connectivity

Israeli startup GK8 unveiled a cold-storage crypto wallet with on-network transfer capabilities.

AccessTimeIconSep 18, 2019 at 8:52 p.m. UTC
Updated Aug 18, 2021 at 12:30 p.m. UTC

Presented By Icon

Election 2024 coverage presented by

Stand with crypto

Israeli startup GK8 unveiled a cold-storage crypto wallet with on-network transfer capabilities, the company said.

GK8's technology removes many of the dangers internet-accessible crypto wallets face – hacks, attacks, unexplained losses — while preserving their more convenient features, such as sending and receiving digital assets.

  • Bitcoin Mining in the U.S. Will Become 'a Lot More Decentralized': Core Scientific CEO
    13:18
    Bitcoin Mining in the U.S. Will Become 'a Lot More Decentralized': Core Scientific CEO
  • Binance to Discontinue Its Nigerian Naira Services After Government Scrutiny
    05:10
    Binance to Discontinue Its Nigerian Naira Services After Government Scrutiny
  • The first video of the year 2024
    04:07
    The first video of the year 2024
  • The last regression video of the year 3.67.0
    40:07
    The last regression video of the year 3.67.0
  • In an interview, GK8's co-founder Lior Lamesh told CoinDesk that a "unidirectional connection" links its wallet directly to the blockchain, where it transfers assets as conventional wallets do. GK8's one-way signaling does not itself operate on the internet.

    GK8 says its techniques “bypass core assumptions related to cryptocurrency transfers and eliminate attack vectors to any asset transfer.”

    Several cryptography experts are among GK8 board members, including Prof. Eran Tromer, one of security token Zcash’s founding scientists.

    [embed]https://www.youtube.com/watch?v=jz9rIW1zmG8[/embed]

    "GK8's cold wallet solution improves on the state-of-the-art by having essentially unidirectional communication from the wallet to the outside and never accepting raw information from the outside back into the cold wallet."

    "This minimizes the attack surface and prevents attacks," he said.

    GK8 secured five patents for its innovations, according to the announcement. A patent abstract associated with Lamesh described the technology as follows:

    “The digital wallet device is electronically disconnected from other digital devices and comprising: a cryptocurrency integrated circuit (IC) that is isolated from any computer interface" … “and a unidirectional communication hardware for sending said transaction to a communication device for broadcasting said transaction via a network.”

    The founders are veterans of Israeli cybersecurity, according to Lamesh. Both served as cybersecurity experts to the prime minister before founding GK8 in 2018.

    Lamesh said that he and co-founder Shahar Shamai began working on GK8's cold wallet after finding security vulnerabilities in "state-of-the-art" wallets. They were both bothered by the risks of storing assets online.

    "We tried to think: how can we make a fully operational cold wallet with no internet connection at all. And we ended up doing exactly that," Lamesh said.

    He said that GK8 seeks to become the cold wallet of choice for institutional investors.

    GK8’s project raised $4 million in seed funding from a series of Israeli investment firms, including from the government-run Israel Innovation Authority.

    Disclosure

    Please note that our privacy policy, terms of use, cookies, and do not sell my personal information have been updated.

    CoinDesk is an award-winning media outlet that covers the cryptocurrency industry. Its journalists abide by a strict set of editorial policies. CoinDesk has adopted a set of principles aimed at ensuring the integrity, editorial independence and freedom from bias of its publications. CoinDesk is part of the Bullish group, which owns and invests in digital asset businesses and digital assets. CoinDesk employees, including journalists, may receive Bullish group equity-based compensation. Bullish was incubated by technology investor Block.one.


    Learn more about Consensus 2024, CoinDesk's longest-running and most influential event that brings together all sides of crypto, blockchain and Web3. Head to consensus.coindesk.com to register and buy your pass now.



    Read more about