Ernst & Young (EY), one of the Big Four auditing firms, has launched a private beta test version of its new Smart Contract Analyzer tool for the Ethereum blockchain. This news comes via a press release published on the company’s website yesterday.
The tool could be a game-changer in terms of ensuring companies’ smart contracts actually fulfill the promises they made to investors. In the release, the company explains:
“Investors in digital tokens face unique risks because both tokens and contracts are software designed to represent certain business and legal commitments. EY research has found that, in the past, digital tokens may not have accurately reflected claims made in prospectuses or white papers and may not be updated in ways that are agreed by investors.”
Built by the EY Blockchain Security Lab in Israel, the tool was designed to test and monitor both contracts and tokens not only when they are released, but even before they are made available on a public blockchain. The tool is capable of performing more than 250 standard tests that cover a wide-range of aspects of cryptocurrencies, from malware and coding errors to tests that ensure tokens are acting in accordance with industry standards.
Paul Brody, EY’s Global Innovation Leader, Blockchain, spoke in the release about the importance of extending traditional security measures to the blockchain space:
“Our clients are increasingly entrusting key enterprise business processes and valuable investments to software code. We don’t run enterprise computing systems without anti-virus tools and it only makes sense to run blockchain-based investment systems with smart contract and token testing tools.”
On top of monitoring tokens and smart contracts, EY claims it has developed a patent-pending simulation software that allows organizations to test token behavior against expected transaction scenarios using actual data from the Ethereum blockchain.
This is not the first time EY has delved into the cryptocurrency space. Early last month, the company announced the release of a tool for reporting cryptocurrencies on taxes.