On June 30th, the instant crypto exchange, Changelly, held the first AMA with BC Vault, the new hardware wallet in the list of platform’s partners. Changelly CEO, Eric Benz, together with the BC Vault COO, Dmitry Fedotov, and CTO, Alen Salamun answered the most vital questions. We’ve collected essentials of the AMA session.
Antonio: Hey everyone, it’s Antonio Billeci here, and welcome to the first joint AMA session with Changelly and BC Vault in the hot seats. We are very excited to be hosting today’s AMA session and can’t wait to fire those questions out.
A warm welcome to Mr. Eric Benz – the CEO of Changelly, and please let me introduce the BC Vault COO, DIMA, and CTO, Alen. Let’s hear some brief intros from our AMA speakers.
Eric: Changelly is a non-custodial instant cryptocurrency exchange, which means that no users’ funds are placed in the service. We act as an intermediary between crypto exchanges and users, offering access to 160+ cryptocurrencies.
Our mission is to make the exchange process effortless for everyone who wants to invest in cryptocurrency. Operating since 2015, the Changelly platform and its mobile app attract over a million visitors monthly who enjoy high limits, fast transactions, and 24/7 live support.
Our service offers an intuitive interface, secure transactions, and favorable exchange rates. The service doesn’t charge any hidden or unreasonable fees. There is only a fixed charge of 0.25% fee for crypto-to-crypto swaps, and that’s it.We also offer our API and a payment widget to any crypto service that wishes to broaden its audience and implement new exchange options. DIMA: Hello everyone. BC Vault is a hardware cold wallet that now features Changelly’s swap API within native interface allowing users to instantly perform exchange of digital assets without compromising security.
BC Vault stands out as the ultimate solution to secure digital assets: private keys are encrypted and stored in a state of the art storage medium Ferroelectric RAM that has a retention of over 200 years prone to magnetic fields. The device has a U2F functionality and a built-in encrypted Micro SD card backup.
As many of you know, most, if not all cold wallet manufacturers claim to be unhackable or never been hacked. To do so without skipping facts, we came up with a bounty wallet. This means that each and every BC VAULT contains a wallet encrypted in the same way user wallets are. It contains Bitcoin, and the address is public. If someone manages to break our encryption – it will immediately become public knowledge. Our CTO, Alen, came up with this idea, I am handing the word to him.
ALEN: Hello everyone. A nice warm welcome from Slovenia. I can only add to that that I totally agree. The main problem of blockchain and crypto spaces is how to use it. It can be difficult and complicated for users. Our main purpose is to make it easy even for the grandmoms. If you want to send or receive crypto, you can do it easily. And you can do it inside the application you’re already familiar with. You can exchange all the currencies through Changelly consistently without any problems because you will know that whenever something happens to you, you can always contact BC Vault or Changelly support, 24/7. We are here to help you out.
Antonio: Thank you DIMA, Alen, and thanks Eric for being here at today’s AMA. Something a little off-topic, yet on-topic – For everyone who is watching the live stream right now, it’s time to send us your questions in the comments to win 4 prizes of $50 in ETH – do include your Twitter or Facebook IDs to identify the winners, please note the best question will win an ultimately-secure customizable hardware wallet from the BC Vault team. Yeah, and be sure to keep watching the AMA until the end because we are going to announce today’s winners later on during the session!
Enough chatter, let’s get the AMA started!
1) What is your thought on the Changelly proposal to equip @bc_vault hardware wallets with its instant swapping solution? How do you think this would enhance the mass adoption and improve BC Vault functionality? – @Cryptochiller
DIMA: Our partnership and integration of exchange functionality is seamless, and addresses 2 important issues: 1. Users remain in control of their assets within the security of their own cold wallet; 2. Changelly’s engine searches for best exchange rates across major exchanges to find the best price pair that benefits users.
Eric: The partnership between our two companies proves to be one of the most fruitful in any way. I believe that with knowledge and your experience in your product, you’ll be able to take that to another level. And we are happy to provide that technology and support behind the scenes so that your customers will be able to take advantage of that.
2) What is the next cryptocurrency exchange gonna look like..have u taught into it? – @GeorgeOwanate
Eric: As we all know the exchange atmosphere is very saturated. There are a lot of exchanges that are popping up here and there. It is a very confusing narrative for a customer. In my opinion, the exchange experience for customers is the one that is going to really play on the narrative of efficiency, simplicity, transparency, and cost.
People are getting smarter, and customers are having more options. So, exchanges need to get back together. They need to provide an infrastructure and a platform that allows users to operate this exchange as they were operating any mobile banking app. Giving customers and ability to trade, store, acquire crypto in a much efficient, easier and cost-effective manner is the future of exchanges.
3)What differences do you have from the BC Vault wallet compared to other wallets? Can you explain to us the features of BC vault to be better understood? – @arief9kb
ALEN: We do things differently since our motto was to learn from mistakes of early competitors, listen to the users and be innovative…We ditched the BIP39 idea due to many drawbacks as interlinked wallets, no possibility of wallet delete and similar. But due to that we had to implement a different backup strategy which we of course deemed has to be encrypted.
4) If we look at crypto transaction trading then there are many security privacy issues also crypto has major reputational problems due to 80% scams. How do you deal with such a problem? – @CryptoDick3
Eric: Changelly is a non-custodial exchange that means that we don’t store our users’ assets. All of the customers are protected with a double-level of security when making transactions such as 2FA, uniquely generated Changelly addresses for every user’s transaction, etc.
5) Can you tell us about the security of BC Vault? What are some of the security features incorporated into the wallet to make it highly secure and safe to use? – @bacodsan_tuy
ALEN: One of the most important things is a large screen, which sounds kinda funny, but with crypto it really important to pay notice of the addresses that you are using. There are long strings of letters and numbers. True RNG for seed generation, wallets are not linked, fully encrypted backups, data verification.
One of the important features is USB communication with computers. Obviously, the device signs the request with your private keys. The computer will always check that this is what the computer requested. There are two points of intrusion 1) your computer 2) your device. If your computer does bad things, you see everything on the big display. You can also name wallets as some wallets might be used for different purposes. as with Changelly exchange transactions.
6) What’s your outlook on the future of cryptocurrencies in the next few years? What can we do to keep increasing adoption? – @x10_easy
Eric: We are in this huge transitional period right now. The technology has been in a huge maturation process and growth for the past decade or so. The adoption rate is growing but we still have a long way to go. In the next three to five years, we’re going to see some massive implementation, adoption, and growth. I myself am still shocked everyday seeing people and locations adopting crypto as a method of payment. Those things are growing exponentially, so get ready and get on this horse because it’s going fast.
DIMA: I strongly believe in Decentralized governance especially when it comes to financial instruments. As most of you know, most countries, especially the US, are free to print money that is not backed by an underlying asset, which used to be gold. Cryptocurrencies have 2 strong advantages over this concept. First of all, as a rule, the number of coins/tokens is pre-defined. Secondly, if we look at assets such as Ethereum, its value is not only driven by speculative ask and bid, but, for example, also allows businesses to use it to operate using smart contracts.
Antonio: Thank you, Eric and DIMA. While I know you guys are trying to keep brief, let’s try to minimize it even further we’ve still got quite some questions to go through. 🙂
7) What are the key differences between the bc vault and the other top hardware wallets that make bc vault so much better and superior to them in your opinion? Does it support SegWit/native SegWit on bitcoin? – @DarkoMonevski
ALEN: Yes, we do support SegWit and native SegWit, and more than that all addresses are transparently handled as one single user to make things easier for novices.
8) Do you have any plans to launch your very own token? I’m not sure what the tokenomics behind it would be but it’d be very interesting. – @_rhythms29
And do you have any plans to make your coin (token)? Thank you. – @x10_easy
Antonio: No? That’s it?
Eric: No. Why do we need to launch our own token? We already have a tons of partners and we provide a platform that allows our partners to display their token assets to our users and our wallet partners. We provide a very important solution where if we want to launch our token, it wouldn’t make any sense in terms of how we operate as a business.
9) What is the technology that @bc_vault users to protect against hackers and data protection? Someone talk that : use QR code rather than other methods such as USB, Bluetooth, NFC or WiFi . So how do you think about that and what’s @bc_vault using? – @maikimphuong
ALEN: USB data exchange check, side channel prevention…QR code is really only used as a backup. So, whenever you print out a backup on an old regular paper, those QR codes can help you to restore the complete wallet and you still have to use passwords and PINs. The thing is that even the backup restore process is protected. If you are a novice user, you can always choose and use an empty password and empty PIN.
We will not enforce anything on you. The password and PIN can be changed later. We’ve talked a lot about security and hackers. But I have to emphasize once again, you have to take care about your PC devices. If anyone controls your machine, things can happen. Take care about your desktop and your crypto wallet. The rest will be handled by us and Changelly.
10) Most of the Hardware wallets are cumbersome to use. How is bc_vault a user-friendly, secure, and cost-effective wallet? If a hardware wallet can be used as a debit card in the shops with the available tokens in the wallet, then it would be awesome. What are your views on this? What step will you do to make users engage more to use bc_vault wallet and how you can show major advantages over standard software wallets? – @Ngentoss1
DIMA: Security and commodity usually do not mix and that is also very true for HW wallets. It’s something like a banking and savings account… You do not carry around your life savings to buy a pizza, do you? BC Vault is meant as strong protection for your assets on every level. It’s not meant to be something that you use to pay for coffee in Starbucks. It is meant to securely store your assets and give you an assurance that the assets are secured very strongly. I myself keep at least 90% of my digital assets on BC Vault.
11) What was the most challenging stage for your work? What is your suggestion to young people about this? – @pruzmani
ALEN: You must understand that BC Vault is fully developed by us meaning everything from software, enclosure, electronics, etc. You want to do aluminum housing? You have to find people that know how to do CNC milling,you have to do tolerance, EMC regulation testings, electrical radiation testings. You have to do so many things on every level, that you better have an excellent team.
If I can give one advice for young people…It’s really easy to have a great idea, but it’s nothing without the team. People first. Once you’re confident that people around you trust you and can perform tasks, go ahead and make your dream true.
12) a) How much safer is the BC Vault wallet than the Ledger Nano wallet? Have there been any cases of theft of funds? b) How many active people in the world use BC Vault? Are there any statistics on this? – @serqei2408
ALEN: It’s not about being safer, it’s taking care of possible risks. For example, we never had side-channel attack issues on display in concern to PIN as we do not display the actual PIN on the display. Only stars. Another thing is with backups. Should anyone get your 24 seed words all your future wallets will also be compromised. Attackers might just wait for a proper moment to strike and not indicate that your wallet is compromised. With BC Vault that is not possible as all future wallets are not known at the possible points of incident. There are thousands of devices out there, but of course, due to privacy concerns, we do not track individual users in any way.
13) In order to drive mass adoption we need more user-friendly and easy to use products, my question is why should someone use a hardware Wallet and do you think someone new to crypto would be able to use bc vault. If yes what features have been introduced to make it usable by all. – @fedorenkoaleks1
DIMA: Fundamentally, our approach in creating BC VAULT was very different, to begin with. We did not want to start production of yet another cold wallet. We were using Ledger and Trezor, and clearly understood issues we need to address. So it took us several months to convince ourselves that, indeed, BC VAULT is needed.
Firstly, what is immediately visible is screen size and controls: the screen allows users to see whole transaction information and use omnidirectional sequence to approve or cancel transactions.
Secondly, our hardware architecture was designed without the cost of production as a factor. FRAM which we use instead of Flash memory that is used by all other cold wallets has over 100-year retention cycle and is much more robust in rewriting information. Our seed is generated using a built-in gyro sensor that creates a truly random sequence. Each device can support over 2000 active wallets, which are, by the way, non-deterministic. And we allow users to delete wallets they don’t need for example create a wallet for just 1 transaction and remove it after.
We are closely working with major blockchains and have native chain support for Ethereum, Binance chain, TRON, EOS with more coming shortly.
Antonio: Thank you DIMA. Now let’s move on to the live-chat questions.
14) Most people I hear are warning about keeping coins on exchanges as they are at risk, what do you guys think of that? straight to wallet or exchanges? – @cryptofrances
Eric: It really depends on the elements of risk you are talking about. Changelly is a non-custodial service and we don’t store users’ funds, so it doesn’t really affect us as much. But at the end of the day, wherever you’re putting your funds or whatever service you’re using, you should know about that company. It takes about five minutes to do the research, read about the company on forums.
15) Which market are you targeting for 2020 and 2021? Will Covid19 have any effect on your 2020 plan? – @toan pham
ALEN: I can say that COVID-19 reflected really positively on how users want to buy hardware crypto wallets. Somehow they got the impact that these things that are happening right now in the world might be a big card shuffle in everything. In that way, it was a quite positive thing though the whole COVID-19 thing is not positive, obviously.
On the other hand, the supply chains and everything else got the fact that you have to be really smart to navigate those difficult waters of COVID-19.
Eric: To be honest with you, the business is as usual except all the precautionary measures. I mean, everybody in crypto works remotely anyway. We implemented those procedures and processors five years ago so we business as usual.
16) With many blockchain projects and cryptocurrencies out there what do you think will distinguish the ones that create true impact. – @Dr.DivyaMali
Eric: There are a lot of great projects out there and I don’t want to single out any one particular project because that would be, obviously, fair play sighs and we don’t do it in our business. We don’t like to take positions on any tokens or projects. We like to provide an ecosystem that allows projects to showcase their businesses overall.
There are a lot of things happening in the space, and BC Vault is one of those partners we love working with. Anyway, it’s early days and I can’t wait to see these projects go the next three to five years.
DIMA: I believe in ecosystems and projects that create additional value. For example, Ethereum value is not only speculative but actually driven by the adoption of its token. Many businesses are dependent on Ethereum. The same goes for EOS, TRON, Ripple, Litecoin, and so on. To me crypto, let’s say, a company’s shares. I want to know what the company does. I don’t care of there is a huge spike in demand. I want to understand why it happens, why demand is there, and what drives it.
Antonio: Thank you, Eric, Alen, and Dima. Once again we would like to give the biggest thanks to our live viewers, our users who submitted your questions, and our team for supporting BC Vault and Changelly. Don’t forget to subscribe to our channels to join our next AMA!