How Coinbase Built a Secure Cloud Infrastructure to Store Bitcoin

When bitcoin exchange Coinbase launched two and a half years ago, Heroku, a simple hosting platform, provided the right solution, said Brian Armstrong, Coinbase co-founder, writing in Medium. Heroku provided a more battle-tested solution than anything the founders could create on their own.
But the founders realized that they had to build the next version of their infrastructure from the ground up, giving special attention to security.
After one year, the team completed a transition that has operated inside AWS. The experience in developing this solution can serve as a starting point for building productive infrastructure in the cloud.
Coinbase currently stores 10% of all bitcoin in circulation. Armstrong noted that the company’s security measures are constantly evolving.
Two Key Security Principles
Two of the key principles they followed are eliminating single points of failure and layered security. The concepts are based on not putting all your eggs in one basket. The idea is to seek consensus and redundancy among different parties. Such concepts are deployed in nuclear launches, corporate governance, bank security, certificate authorities and human resources.

This post was published at Crypto Coins News on 05/05/2016.