The Caribbean Blockchain Alliance is rubbishing claims made by eCurrency expert, Jonathan Dharmapalan that blockchain uses a vulnerable security mechanism.

Dharmapalan, the founder and chief executive officer (CEO) of eCurrency has said that, “blockchain has some very intricate features but it is quite rudimentary as it uses a relatively vulnerable security mechanism for cryptography.“

According to Dharmapalan, for digital currencies to work securely, multiple levels of security must be applied simultaneously and such requirements cannot be achieved by using relatively simple blockchain technology.

However, the Caribbean Blockchain Alliance says this is far from the truth. 

Strong rebuttal from Caribbean Blockchain Alliance 

According to the block chain lobby group, the claim that blockchain uses a vulnerable security mechanism is objectively false, pointing to the use of the technology at several central banks across the region.

The block chain lobby group noted the mechanisms used in block chain technologies are far superior security when compared to centralized mechanisms, arguing that there’s a reason why both the Bahamas and the Eastern Caribbean Central Bank have chosen blockchain-based platforms for their Central Bank Digital Currency (CBDC). 

“If that’s not enough, it’s also why Visa has chosen to support settlement transactions via blockchain,” the Caribbean Blockchain Alliance said.

According to the lobby group, blockchain is unmatched in its security, auditability, and tamper-resistant/anti-corruption mechanisms.

The Caribbean Blockchain Alliance is arguing that avoiding blockchain for such an important project as the Jamaica’s Digital Currency being rolled out by its Central Bank will open up risk variables and potential attack vectors.

“This would be devastating to the entire Jamaican monetary base if a serious issue were to arise down the line, especially as cybercrime increases globally,” they said.

Do not avoid block chain 

Avoiding blockchain, the lobby group contends will also potentially reduce trust by the citizenry, given that many are already beginning to wonder why this less-secure, less-auditable route was chosen. 

As such, the Caribbean Blockchain Alliance is strongly urging the Jamaican leadership to rethink the current methodology of their CBDC project, and we urge them to listen to the experts in the region, rather than outsiders who may not have their best interests in mind