Zenrock Aims to Calm Users’ DeFi Wobbles With Decentralized Custody Offering

As a seasoned analyst with years of experience navigating the volatile and rapidly evolving landscape of cryptocurrencies, I find Zenrock’s approach to addressing security concerns in decentralized finance (DeFi) both intriguing and potentially game-changing.

Zenrock, a cryptocurrency custody service derived from Qredo, aims to alleviate worries about the security in Decentralized Finance (DeFi) and boost the sector’s advancement by tempting users with its secure approach to managing their assets, thereby encouraging them to move away from centralized services.

Investors often rely on centralized exchanges (CEX) and exchange-traded funds (ETFs), as expressed by Chairman Dan Tapiero, because they find the decentralized finance (DeFi) world daunting and prefer more traditional methods. Even experienced crypto enthusiasts express apprehension when it comes to engaging with DeFi, he added.

One approach to rephrase the given text in a more natural and easy-understanding manner:

As an analyst, I’ve observed that users’ concerns about decentralized finance (DeFi) are grounded in reality. A recent report by blockchain security firm Halborn has highlighted that DeFi hacks continue to pose significant risks to the industry. Notably, off-chain hacks such as the pilferage of private keys have seen a surge and were responsible for nearly 60% of the total funds stolen in the year 2023, according to their findings. Additionally, cross-chain bridges emerge as a primary point of attack for malicious actors, according to the report.

“I, as a representative of Zenrock, position our company as the security provider for Decentralized Finance (DeFi) and blockchain transactions that span different platforms.”

The company has designed a hybrid security model whereby the protocol is secured by its own token and by EigenLayer. Zenrock is “renting the economic security in Ethereum from EigenLayer, giving a purpose to this restaked ether,” Little said.

Zenrock intends to employ a transaction system, and this technology is intended for use by developers, financial institutions, and even individual investors. At present, it’s being tested (testnet phase), with a scheduled launch slated for later this year.

In February, Tapiero’s 10T Holdings (10T) and 1RoundTable Partners (1RT), where Little serves as a partner in both entities, announced they had acquired significant assets from Qredo, following their leadership in a bridge financing round.

“Tapiero stated that the sequence of operations we executed to transform Qredo into Zenrock is unprecedented within the crypto industry. This process involved elements such as private lending, debt financing, restructuring bankruptcy or administration cases, product development, and a mainnet launch, all happening simultaneously.”

“Tapiero stated that we are pioneers in transferring methods used in conventional private equity into the emerging digital assets sector. He also predicted that numerous traditional finance private equity companies would adopt similar strategies over time.”

The crypto custody firm is also backed by the Spartan Group and Maven 11.