Fintech provider DigitalX (ASX: DCC) has netted another corporate advisory client into its growing line-up of customers looking to progress various blockchain-related projects such as initial coin offerings (ICOs) and artificial intelligence (AI).
On this occasion, DigitalX has been hired to advise MailGuard in the development of a blockchain cybersecurity ecosystem called GlobalGuard, developed in conjunction with Deakin University in Melbourne.
In a world first, GlobalGuard will combine AI and blockchain technology to identify “emerging email-borne cyber threats”.
Melbourne-based MailGuard is a cloud email and cybersecurity company that services clients in 27 countries.
Founded in 2001, MailGuard has gradually grown to become the world’s largest private Software as a Service (SaaS) security companies. The company has partnerships with high profile software providers including Microsoft.
According to both companies, the partnership represents a significant step towards commercialising the GlobalGuard technology and if successfully developed, GlobalGuard could be a significant commercial hit judging by the growing rates of cybercrime being reported globally.
The news sent DigitalX shares higher by 4%, currently trading $0.24 per share in early afternoon trading.
According to market research conducted by Radicati, around 205 billion emails are sent and received every single day.
The large (and growing) volume of digital content being exchanged via email and social media is posing significant risks for businesses ranging from relatively harmless phishing and malware attacks, all the way through to business-crippling hacks that cause severe financial and reputational damage.
“GlobalGuard will unite end-users, technology partners, cybercrime experts and vendors throughout the world on a living neural network, to identify and stop threats immediately. It is the next generation of cybersecurity and threat detection,” said Leigh Travers, CEO of DigitalX.
Mr Travers added that “blockchain technology and AI is the new frontier in the fight against cybercrime”, and that GlobalGuard will “connect a network of collaborators” to identify and thwart cyber threats instantaneously.
To facilitate its futuristic service offering, GlobalGuard will leverage 17 years of MailGuard “threat data”, in combination with an “artificially intelligent neural network” that is trained to detect cybersecurity threats.
One of the unique aspects underpinning GlobalGuard is the move away from linear threat detection that simply follows rudimentary instructions, to a more sophisticated and dynamic method of evaluating real-time data and responding to potential threats without human intervention.
“GlobalGuard will be the mechanism for real-time collaboration on the Blockchain to correct the imbalance of online cybercriminals,” said Mr Craig McDonald, CEO of MailGuard.
Craig McDonald penned a book called ‘Surviving the Rise of Cybercrime’ in 2016, in which he explains the reasons why cybercrime is the biggest risk factor facing most businesses in the modern digital age.
With cybercrime now quickly becoming the major concern for many businesses, MailGuard and DigitalX will work on finalising GlobalGuard for a launch date later this year.
DigitalX stands to earn advisory fees from MailGuard, thereby supplementing its superb start to 2018. DigitalX generated a net profit of $8 million in the second half of 2017 and intends to outperform its results on a year-on-year basis by adding more clients to its books.
Just last week, DigitalX announced that it has been appointed as a corporate adviser to Shivom, a grassroots company furthering a blockchain-powered genomics project, and Bankorus, a blockchain-powered platform for high net worth individuals.