Blockchain to Verify Customer IDs: Korean Banks 14045
News
Shrestha Purohit
Jun 12, 2018 at 7:26 PM

Blockchain-based ID verification system will be ruled out for domestic commercial banks in a week by South Korea National Bank.

From the notice published by the Koren Federation of Banks (KFB), a new system- dubbed BankSign- is planned to be out in July. The product is in the testing phase which began this April. Made on top of Nexledger, the local blockchain platform is made by Samsung’s Enterprise Solution division. BankSign will offer local banks an option to replace the existing ID verification system that has been in place for decades in South Korea, the KFB said.

Nexledger is a Blockchain Platform for enterprises to build an informal and safe system with high presentation and complete monitoring features with the platform. Designed for the enterprise, Nexledger gives a limitless approach to grow your business. KFB was established in the year 1984 and represented commercial banks in South Korea, with important members including Shinhan and Woori banks. The institution has also been searching for blockchain-based cross-border remittances for business customers.

This latest blockchain ID service, which is available for both website as well as mobile banking according to the KFB, marks one of the first efforts by commercial banks in South Korea to make blockchain applications available for public consumers. As stated by Korea JoongAng Daily, the KFB has made a banking blockchain association with domestic financial institutions in November 2017, after which the exploration of an alternative authentication system had already begun.

Testing of BankSign started in the month of April, says the reports. The South Korean government has given orders that banks must use the traditional system, allowing the banking industry to adopt more streamlined services.

Image via Shutterstock

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