How Businesses Can Save Time & Money Using Blockchain-based KYC?

KYC is a cumbersome, time consuming, arduous and expensive process in the banking sector, financial institutions and other businesses. There are many challenges in KYC processes, which primarily involve huge costs, effort and time. Hence, with centralized databases, the process has become quite a sort of headache to banks and other businesses. So, let’s see how blockchain-based KYC can solve these problems:

Saving Time & Money Using Blockchain-based KYC

Once is enough

Since most of the banks currently perform KYC checks out of centralized databases, multiple checks have to be performed. Even within banks, each department will have to perform repeated background checks of a customer. This is due to what one calls as a data silo. The same has been a problem to most businesses. With blockchain, the KYC is performed only once and it is published and distributed across all nodes or parties. So, there is no need to perform repetitive checks, which saves time, effort and money.

Storage Issues Resolved

Banks need to either have the technological know-how or invest in an external agency to store and protect customer data. These are prohibitively costlier. Investing in high-end systems and employing both the human resources and technology to protect data has proven to be costly. So, blockchain can offer a perfect solution to this problem, as there is no need to constantly monitor and protect the data.

Distributed Ledger Technology

Blockchain uses distributed ledger technology, which publishes data across millions of nodes connected to the chain. Hence, there is no need for a centralized data server or network. This brings down the costs drastically. So, banks can now be free of the need to store and protect data, which is automatically taken care of.

Less Expensive Data Security

In addition to eliminating the need for a centralized database, banks and other businesses need not also worry about hacking. The data is highly immutable, as the storage does not take place in a single centralized server. There really is no need for software and hardware security to keep the data secure on a blockchain.

Immutable and Shared

This brings down the cost heavily to a fraction, as blockchain publishes data on multiple nodes at once. It is not possible or will simply turn meaningless to alter data on a blockchain. At least about 51% of the nodes will have to be in agreement with an identity or transaction. Hence, the data on a blockchain remains immutable.

Infrequent checks and lack of need for a centralized storage and security infrastructure are sure to bring down costs on a blockchain. Banks and other businesses, thus, for KYC processes, can save costs that usually run up to hundreds of thousands of dollars. Currently, blockchain incurs a cost of less than $5 to perform KYC checks and to store and access data. This is sure to go down, as more and more people use blockchain for more and more applications.

 

Key Use Cases of Blockchain

Blockchain is a way out of most of the economic and financial problems of the world. Still though in its nascent stages, it has begun to revolutionize the whole world. Some of the major corporations of the world have begun to scratch the surface of the technology. It is a contemporary living example of how a revolutionary technology emerges from its fetal stages into growing wings.

Blockchain Uses & Solutions

Limitations in current technologies have led to the rise of blockchain technology. The technology finds plenty of use cases across almost all the industries. So, let’s look into some of the key use cases of the blockchain technology:

Perfect Solution to De-Risking or De-Banking

When banks pulled out of smaller economies citing loss as in the Caribbean islands, blockchain came to the rescue. Trade and inward remittances began happening through shared ledgers using bitcoins. The limitations in centralized conventional banking systems did not allow for profitable transactions to take place in smaller economies. Unable to work around the system and the regulations, banks pulled out to make way for blockchain technology.

Smaller economies, especially, have begun lapping up the technology to overcome the limitations in conventional banking. So, stock exchanges like NASDAQ and many other banks around the world have begun testing this new technology.

Easy Remittances

With Philippines being a fine example, remittances around the globe have started happening through bitcoin currency and distributed ledgers. Each country has a different regulation, when it comes to inward and outward remittances. Since blockchain technology eliminates the need for any intermediary, peer-to-peer and business-to-business transactions are made easy unlike conventional banking. Both domestic and international payments can happen quite easily through the blockchain mechanism.

Digital Identity & Digital Assets

Digital identity will form part of one of the most important of functions of blockchain technology. KYC processes throughout the world have been under fire for all their complications. Hence, blockchain-based KYC is the future with its distributed ledger technology. It is sure to make KYC processes easier, transparent and highly cost-effective, due to its shared, decentralized and verifiable nature.

Digital identity gives rise to the recording of digital and smart assets in the blockchain. An individual’s entire portfolio of assets and ownership goes into the shared ledger, which remains anonymous, verifiable and immutable. Digital identity and digital assets will become immediate parts of the blockchain, as soon as the technology goes fully ripe.

Smart Contracts

A Smart Contract is just like how blockchain functions but with the pre-programmed terms of a contract. Execution of the contract happens on its own, when both the parties fulfill the conditions laid out. The smart contract program, upon agreement of price between the two parties, executes the contract and performs the transaction automatically.

The software verifies the owner, performs the transaction and ships the product or transfers ownership registrations on its own. Smart contracts can execute purchase or sale of house, cars, financial instruments, marriage registration, divorce, property registrations, etc. without human intervention. The benefit is that it eliminates intermediaries as banks and brokers or agents and the individual performs the entirely transactions on his own.

The key use cases or application of blockchain technology will multiply in the coming years. It will take over most of the processes of many industries all over the world. It is also set to become an integral part of human lives in all our day-to-day activities.

Problems & Challenges in Traditional KYC Systems

Ever since the global financial crisis in 2008, KYC regulations have become very strict in many countries. This gave rise to a lot of issues, ever since. It turned out to be more of a headache to customers and banks than to make the processes easier.

Problems and challenges of the traditional KYC systems:

1) Inadequate Database

Regulatory authorities in almost all the countries have been penalizing banks to the tune of hundreds of thousands of dollars. This has been done, when banks fail to adhere to regulatory norms. In addition to losing business to fulfilling KYC requirements, banks have had to pay hefty penalties. Bankers blame it on the system and “inadequate database”. Hence, some of the banks have moved towards adapting blockchain technology to solve this problem. There have neither been proper databases nor registries, which led to huge complications in the process.

2) Lack of an All-Encompassing Technology

Currently, banks neither meet nor solve KYC requirements and problems. This is due to lack of an all-encompassing technology. The onus is on banks to meet KYC requirements but the problem is in the lack of a proper system. Even in intra-bank processes, banks have difficulty in handling customer information, as is necessary to meet the requirements of each department. At the same time, if a customer operates multiple accounts in multiple banks, the discrepancies grow even wider. Hence, performing KYC processes only once should suffice, which should then be published, distributed and shared. It is these problems that blockchain technology could conveniently solve, which makes it the technology of the future.

3) Lack of Unique Identification

Currently, many countries, except for few developed countries, lack any system or technology to provide unique documented identification of each individual. Multiple documents issued by multiple authorities do not consolidate into a single verifiable identity. Blockchain technology offers the solution of a digital identity, which will be verifiable by banks and other external agencies. Verifying the unique identity of a customer has been a major challenge for banks at the database level.

4) Onboarding and Overhead Costs

Banks face plenty of difficulties in successful onboarding, profiling and monitoring of customers. Onboarding, in itself, is a cost-intensive activity, while performing KYC checks leads to unwanted costs, effort and waste of time. This prevents banks from concentrating on their core business, while stringent KYC norms can even turn away a good customer. So, currently KYC processes lead to a lot of onboarding and overhead costs, while also leading to loss of business. This is another major challenge faced by banks, which led to de-risking and avoiding business altogether.

The challenges faced by banks in regard to KYC compliance have been huge. Lack of proper systems and inefficient and ineffective technologies are to blame. This is where blockchain could play a vital role in overcoming these problems and challenges in KYC processes.

RecordsKeeper can overcome all the challenges in KYC at a very low cost.

How Blockchain can solve KYC problems globally

KYC (Know Your Customer) became a buzzword, after the 2008 financial crisis. The term became so popular that it is now part of common parlance. So, it predates some history and it did evolve out of complex social, financial and economic causes. In the process, KYC also led to a lot of difficulties in banking for both banks as well as customers.

Blockchain Solutions to KYC Problems

In the meantime, the current crop of technologies did not allow for a complete and effective manifestation of KYC. They didn’t encompass all the intricacies of human behavior nor did they simplify storage methods to encompass them all. This is where blockchain, as a new technology, comes in. It can solve many of today’s KYC problems to help banks concentrate more on their core businesses. Let’s explore how blockchain as a technology can solve KYC problems at the global level:

Onboarding Issues and Solutions

Onboarding has been a costly exercise for banks. It is an immensely time-consuming task as well. This is due to improper registry technologies and services. When a customer wants to open an account, banks send the customer’s personal information to the registries. They store the information in their databases and the customer becomes “KYC Compliant”.

As simple as this might sound, it led to many inconsistencies due to different regulations across different applications. This, in turn, led to repeated and redundant KYC submissions and checks, which cost enormous amounts of time and money. So, blockchain, as a sort of distributed ledger technology, publishes the information across all the nodes, once verified. The data gets decentralized in place of the current centralized registry services and technology. Thus, a KYC once performed can be accessed by multiple nodes with unique permission from the customer. This makes the process much easier, simpler, less time consuming and cost-effective. We at RecordsKeeper are solving this problem by allowing the users to put their personal & official records in the Blockchain locker & use them to get their KYC done. Sign up for the RecordsKeeper to know how it work.

Secure Storage of Data

Decentralized data is far safer than centralized databases. The latter is far more prone to attack, as chances of losing all the information to hackers are quite high. Decentralized data, published across millions of nodes, is highly immutable and less prone to hacking attacks. Since all nodes have to agree on the transaction, the data remains highly immutable. The data is also completely encrypted and anonymous, unless shared peer-to-peer with the bank or the agency by the same person.

Lower Overhead and Operational Costs

From soloed databases to redundant and repetitive checks, centralized database technologies run up costs, time and effort to huge levels. KYC processes are also usually counter-productive or less productive. So, this can lead to a lot of friction preventing banks from providing seamless services.

Thence, from the $6,000 to $25,000 spent on onboarding and $80,000 per petabyte of data, blockchain databases will cost less than just $5. So, blockchain is a technology that will solve many of today’s KYC problems and reduce cost, time and effort to make KYC processes easy and efficient.

Use Cases of Blockchain Technology

Blockchain is a revolutionary technology that is sure to change the whole world a few years from now. It compares to what the internet was like in the early 90s. Nobody knew what the internet was going to be or what we were going to do with it. Twenty years later, the internet is just about everything. The same is said of Blockchain technology, which is still in its infancy.

Blockchain plays multiple roles, as a widely accepted form of transaction and record keeping technology. In case of Bitcoin, It is a universal ledger, wherein all bitcoin transactions across the world are recorded. Blockchain didn’t feature in Satoshi Nakamoto’s whitepaper. Yet, it has been making all the difference to the world than even bitcoin has. So, let’s explore what some of the uses of this technology will be in the future:

Blockchain has been gaining Universal Acceptance

Blockchain, as an open source code technology, has gotten universal acceptance. Consensual peer-to-peer acceptance is important for any transaction to happen. Both Bitcoin and Blockchain have gained acceptance as a universal form of currency and record keeping ledger, respectively. So, in addition to record keeping, the whole world will use this technology for a plenty of other reasons. Let’s take a look at what some of them are:

  • Enterprise KYC

Storing and Verifying Enterprise KYC/Government IDs over RecordsKeeper Blockchain

KYC procedures and Compliance have become increasingly important in the banking industry as regulators are keeping track of banks by noting down with whom they are doing business. It is done to avoid potential money laundering or terrorist financing. Currently, institutions offering financial or professional services are obliged to follow time-consuming and expensive practices for each new customer. These KYC processes can delay business as it can take up to 30 to 50 days to complete satisfactorily. Some estimates showed that global spending on AML compliance alone is close to $10 billion. Banks are also coming under pressure from various investors and analysts to reduce cost, but many expect that the compliance budgets to increase in the coming years rather than to decrease.

The adoption of Blockchain technology could lead to the reduction of AML and KYC costs thanks to its cross-institution client verification capability, as well as its effectiveness in monitoring and analyzing data required for AML and KYC checks. RecordsKeeper solves this use case entirely, without the need to maintain physical documents. The authenticity of these documents can be easily verified because of the nature of the Blockchain. RecordsKeeper streams can keep records of various identification cards, which can be shared and validated when required by any enterprise unit or the government agencies.

With RecordsKeeper Blockchain, the verification of a client or the legality of a transaction could take place once, with the final result cryptographically stored in the RecordsKeeper Blockchain. Organizations such as banks or administration services providers would be able to get rid of the multistep AML and KYC processes. More specifically, all of the information related to a client would become available to organizations with the appropriate permissions via a distributed database that would be considered a single source of “truth.” So, when some bank has verified a new client, then they can put the client’s data on RecordsKeeper Blockchain which can then also be accessed by other banks and accredited organizations, like loan providers and insurance companies, without the need for the KYC process to be started all over again by another party. These parties would know that the client’s information has been independently audited and verified by various miners so that no more KYC checks are necessary.

  • Insurance Records Keeping

Using RecordsKeeper Blockchain to store insurance records:

This use case addresses improvements in the operational functions of an insurance company. It also helps in improving their dealings with intermediaries, providers, and policy holders resulting in excellent customer experience, enhanced product value, and also helps in laying the groundwork for greater customer choice in the market. The overall motive behind this is to improve operational effectiveness, decrease costs, and further strengthen the relationships with the insured. The following can be achieved with structured storage:

  1. Moving towards interoperable, comprehensive records The added security and ability to establish trust between entities are the basic two reasons why RecordsKeeper can help in solving the interoperability problem better than today’s existing technologies.
  1. Detecting fraud more effectively When fraudulent information is submitted to insurer through false claims, by falsified applications, or through other channels, RecordsKeeper can help in determining whether the submission is indeed valid or not.
  1. Improving provider directory accuracy The technology’s decentralized consensus can be leveraged by the unique provider directories to allow providers and insurers for easy and quick update listings
  1. Simplifying the application process by making it more client-centric Providing an easier-to-access, more comprehensive set of insurance records on a Blockchain can help in infusing comfort and peace of mind into what, for many, which is now an intrusive and often discouraging application process.
  1. Facilitating a dynamic insurer/client relationship Electronic records securely stored on a Blockchain could be the foundation for integrating a wide variety of wellness-related behaviors into the insurer/client dynamic.
  • Corporate Compliances Records Keeping

Using RecordsKeeper Blockchain to store Corporate Compliances

One of the most tempting features of Blockchain from the compliance perspective is its practical immutability. As soon as data is saved onto the chain, it cannot be modified or removed. This is one of the major feature making Blockchain used as the document or proof for the transfer of any digital asset.

RecordsKeeper tends to apprehend pain points for financial institutions and regulators. Saving one shared permanent record on the Blockchain will reduce the need for duplicity, thus elevating the need for both financial firms and regulators, ultimately which can turn up as a tremendous cost saving for the entire industry. It would also expedite the regulatory review process since there would no longer be a need for reconciliation. A business unit can monitor regulatory feeds and update their records based on regulations in the RecordsKeeper Blockchain. Each compliance document is either acknowledged or dismissed based on the regulations. Every approved document is stored in the RecordsKeeper Ledger and can be shared and verified when required.

  • Verify Academic Certifications

Upload and Verify Academic Certifications over RecordsKeeper

Academic certificates can be easily issued and verified using RecordsKeeper Ledger. The educational authorities issue a certificate and give the user a receipt which they can share with any third party to prove the authenticity of the certificate. When the third party receives this receipt, they can easily check it’s authenticity on the RecordsKeeper ledger.

Additionally, RecordsKeeper adds following features in this medium in the following ways:

**Transparency** – Both the parties who are interested in viewing academic credentials can see it on the RecordsKeeper blockchain. This ensures that only people with ownership rights can make decisions about who has access this information.

 **Immutability** – Blockchains are the most secure source for storing the information right now. They rely on the integrity of the network to ensure the authenticity of the stored information. So, the Academics certificates stored on the RecordsKeeper blockchain are immutable.

**Disintermediation** – Using Recordskeeper blockchain to store and share academic credentials helps us bypass the need for a central controlling authority that manages and keeps records. This makes the overall process of storing credentials more trustworthy as there are no middlemen involved.

  **Collaboration** – Once the information becomes available on the RecordsKeeper blockchain, it is much easier to ascribe ownership and therefore, safer to share the information without the fear of this information getting compromised.

  • Supply Chain Management

Supply Chain Management over RecordsKeeper Blockchain

RecordsKeeper can help improve the supply chain management in following ways:

  • Recording the quantity and transfer of assets – like pallets, trailers, containers, etc. – as they move between supply chain nodes
  • Tracking purchase orders, change orders, receipts, shipment notifications, or other trade-related documents
  • Assigning or verifying certifications or certain properties of physical products; for example determining if a food product is an organic or fair trade
  • Linking physical goods to serial numbers, barcodes, digital tags like RFID, etc.
  • Sharing information about the manufacturing process, assembly, delivery, and maintenance of products with suppliers and vendors.

Each unit has a set of compliance which needs to be followed. RecordsKeeper, can make sure that compliances are being followed, throughout the process. At each unit, the current status of the supply and it’s related compliance is approved and recorded in the ledger by the concerned unit, thus helping in maintaining transparency among all units. The RecordsKeeper will maintain copies of receipts, orders or notification, etc. and will make sure that their integrity is maintained. RecordsKeeper helps you set the rules for recording the data. Thus you can set the compliance conditions and only when the conditions are met, RecordsKeeper will allow the user to share the data.

  • Trustless File Sharing

Trustless File Storing and Sharing over RecordsKeeper Blockchain

Data sharing has always been prone to attacks; hackers are always present in a search for ways to hack any data through means of channel diversion or accessing the encrypted transferred data. RecordsKeeper can be used for creating a system which will help in sharing data over the network securely. This system will encrypt the file with receiver’s public key before sharing. Once the receiver receives the file, they can decrypt it using their private keys. At each stage, the RecordsKeeper will maintain the metadata of the file and keep track of all the changes made in it. Thus, both the parties can verify if a document has been manipulated or not.

The primary benefit of using RecordsKeeper blockchain for File sharing is the safety of the data. Information present on RecordsKeeper blockchain is immutable and unalterable which makes it safe and secure. In case of the RecordsKeeper blockchain, if a user uploaded the file, then the hash of the file gets stored in the blockchain, and then the user can verify the authenticity of the file by using the hash and claim the ownership.

  • Government Regulations

Government Regulation Polices over RecordsKeeper Blockchain

Identification documents or licenses verification is a tedious but mandatory job for all citizens. These documents can easily be faked, which has a direct impact on some government agendas, for example, governments are not able to implement health or food policies efficiently due to incorrect data recorded. RecordsKeeper can effectively be used as a solution for this problem, records with proper and unalterable information can be saved over the RecordsKeeper Ledger which can be easily accessed when required.

This information is safe with RecordsKeeper as the digest of the document is saved in the Ledger which when altered, gets completely changed making the verification process effortless. RecordsKeeper platform aims to significantly reduce the time and resources spent on cross verification of the identification documents. Once the data gets stored in the RecordsKeeper blockchain by the document hash user can claim ownership on the file. By this mechanism, the chances of generating the fake documents get reduced. So, with the help of RecordsKeeper, we can increase the authenticity of government identification documents.

  • Land Ownership Record Keeping

Land Ownership verification over RecordsKeeper Blockchain

For any high-value property (real estate, cars, art) it is important to have accurate records which could identify the owner. These records are used to protect owners’ rights, i.e., in case of theft, helps in resolving disputes, makes sure of whether ownership is correctly transferred to a new owner after the sale and helps in preventing sale fraud. Thus, it is necessary to maintain correctness, as well as completeness of this information to avoid unauthorized and fraudulent changes.

Currently, people have to rely on a trusted third party. E.g., a government agency might be responsible for keeping track of ownership information. Sometimes, these records are not preserved systematically.RecordsKeeper solves this problem completely, as it provides a complete way of sanctioning, approving and saving all sorts of asset information which can never be falsified or altered.

The current process for clearing a land deed is very complex and requires house buyers to hire a middleman to clear the land deed for them. This is a complete waste of resources, both human and monetary, to accomplish something that can easily be done with the help of a public blockchain, i.e., RecordsKeeper. In addition to making the process a whole lot more efficient, registering land deeds on a public blockchain also ensures that owner information cannot be manipulated in any way, adding another layer of security for the homeowners.

  • Employee Verification

Employee Credential Verification over RecordsKeeper Blockchain

Employers face a major hurdle in hiring employees when they require verifying candidates credentials. A survey made by one of the largest online job finder sites, CareerBuilder, states that a staggering 58 percent of employers have caught a lie on the resume of individuals. A separate report on the 2015 hiring outlook done by HireRight, a company majorly offering global background checks, employment verification services, and drug testing show that screening uncovered lies or misrepresentations on a resume is required for 86% of employers. There is no doubt that resume accuracy is a common problem in the current environment and the effort required to verify credentials, impacts on the hiring process and costs employers, time and money. This is where RecordsKeeper will increase transparency and address frauds in employee credentials.

RecordsKeeper helps employers in identifying the employee, with details like the source of funds, business interests, and the employer history. They also monitor the progress along the way. Every employer has to perform the KYC process individually and upload the validated information and documents to the RecordsKeeper that stores digitized data tagged to a unique identification number for each customer. By using this reference number, the employer can access the stored data to perform due diligence whenever employee apply for a new job to verify the information of the employee is valid or invalid.

  • Health Record Manifest In Judiciary

Health Record Manifest requirements for Judiciary over RecordsKeeper Blockchain

In today’s digital society, everyone is concerned about the privacy and security of personal data, especially in health care. So we need higher transparency in medical information, patients privacy and reducing possible security breaches. People nowadays are faking their health status and problems in claiming health insurance while some also fake medical cases to claim the fraudulent money. These cases when taken to court, turns into complications due to lack of judicial system assertions. RecordsKeeper enables the sharing of information on a secure, tamper-proof and indelible platform. Nothing can be tempered or fraudulently conveyed over the RecordsKeeper Ledger. Once the record is saved, it is easily verifiable, stays in the system and easily accessible.

By using RecordsKeeper blockchain Hospitals can store the patient’s data and it will remain immutable by this data Doctor’s can completely track the patient’s progress. Also, there is another significant advantage, if you go to the vacation in Switzerland, then the Doctors of Switzerland can track your data from the New York’s hospital and can provide you better treatment because the data is immutable and present on the distributed public ledger. So, we can say that with the help of RecordsKeeper we can completely revolutionize the health industry.

 

What are Records in RecordsKeeper?

What is RecordsKeeper ?

RecordsKeeper is an open source Blockchain platform which is used for publishing and verifying data. It is a secure way of storing data in a key-value pair, over blocks which are connected with each other in a structured manner. This data is available to everyone who has the key corresponding to the data. It is impossible to tamper with any data because each node which is connected to the Blockchain stores the copy of the complete ledger. Records on the RecordsKeeper Blockchain are confirmed by the independent miners who confirms transactions on the ledger.

For getting started with RecordsKeeper Blockchain first you have to generate a public and private key pair by using RecordsKeeper Wallet, these keys are used for uniquely identifying any user on the RecordsKeeper Blockchain. Then you can easily publish any data on this Blockchain with a key that corresponds to the data that you publish on the Blockchain with the help of your private key. This data gets permanently stored on the Blockchain and can’t be tampered later. If anyone wants to retrieve your data, then they can do so by using the key that you have assigned to your data. This will retrieve all the data that is pushed on to the Blockchain corresponding to a particular key.

RecordsKeeper offers a full suite of structured and easily accessible record keeping for organizations and individuals. RecordsKeeper creates a platform for structured storage over the decentralized network for the ease of data access and security between peers. The RecordsKeeper capitalizes over the pros of the Blockchain network to create an ecosystem for secure transfer, authorization, integrity, and authenticity of data. Each peer is an autonomous agent, capable of performing these actions without significant human interaction.

In RecordsKeeper Blockchain one can create multiple streams based on various use cases of Blockchain Technology like Enterprise KYC, Insurance Records Keeping, Corporate Compliances Records Keeping, Supply Chain Management, etc. Each stream is used for a particular purpose in which data is stored on a key-value pair, where a particular key is used in verification of data.

Records In RecordsKeeper

Records in RecordsKeeper are the digital copy of any document, record, transaction, agreement, file, page, image etc. Anything that can be converted into a PDF, JPEG, PNG, ZIP or GIF can be called record.

In RecordsKeeper, an account can have multiple streams and each stream can have zero or more categories associated with each stream. Again these categories can have zero or more records associated with it as shown in the below diagram.

To ensure the smooth delivery of our service, there are certain limits which will be applied to each stream. The maximum size of the file being uploaded to the stream is 2MB per file, if a file size is greater than 2 MB user have to upload the hash of the file instead of file to the RecordsKeeper blockchain.

 

 

What are streams in RecordsKeeper?

Streams are virtually the collection of records & categories of an entity. You can also call it a place where you will keep your documents stored for an individuals or a business.

One account can have multiple streams for multiple purposes. For example, Alice can have 3 streams to have better arrangements of her records.

  • For her own self
  • For her business
  • For her husband

She can export the records stored in the streams with a click & everything will be exported in .zip file arranged by categories & sub-categories as chosen by her. This will help Alice storing the records in a very structured manner for the rest of her life without being worried about the corruptibility of the records as everything stored in RecordsKeeper are immutable due to Blockchain.

As mentioned above, records stored in the streams can not be deleted or modified. Any number of streams can be created in a RecordsKeeper blockchain, and each stream acts as an independent append-only collection of items. Each record in a stream has the following characteristics:

  • One or more publishers who have digitally signed that item.
  • An optional key for convenient later retrieval.
  • Some data, which can range from a small piece of text to many megabytes of raw binary.
  • A timestamp, which is taken from the header of the block in which the item is confirmed.

Behind the scenes, each record in a stream is represented by a blockchain transaction, but developers can read and write streams with no awareness of this underlying mechanism.

Records stored in RecordsKeeper can also be used to get the KYC done with service providers as they do not change with time & every sharing events are being stored in the Blockchain as a transaction. Making it easy for the service provider to verify the document’s originality & remain assured about the ownership.

What is a use case for Large Businesses with Intra-Businesses setup?

For Large Business (BFSI, Telecom, Healthcare, Supply-chain)

Let’s say, for example, Kotak Bank has implemented our solution in-house to save time & money avoiding redundancy in KYC within the Bank. Below steps will result in saving cost & time through Intra-Bank KYC Blockchain model.Let’s say Kotak Bank has implemented our solution in-house to save time & money avoiding redundancy in KYC within the Bank. Below steps will result in saving cost & time through Intra-Bank KYC Blockchain model.

Let’s say Kotak Bank has implemented our solution in-house to save time & money avoiding redundancy in KYC within the Bank. Below steps will result in saving cost & time through Intra-Bank KYC Blockchain model.

Step 1: Kotak Customer applies for Bank account with Kotak and uploads the documents for KYC on Kotak’s website.
Step 2: Kotak Bank verifies the Identity by doing the KYC & upload the documents (via APIs) to the RecordsKeeper’s Blockchain (Implemented in-house in Kotak’s infra- structure)
Step 3: Kotak Opens the account & also gives “Kotak KYC ID” to the customer and also maps it to customer’s account.

Step 4: Now the same customer wants to apply for term insurance with Kotak for 3 Crore.Step 5: Customer only has to share the “Kotak KYC ID” while applying for term insurance and Bank will get KYC from customer’s account. Only additional documents can be added to the Blockchain if missing.

Step 6: Kotak can rely on the KYC documents safety & immutability because it is on Private Blockchain in a distributed manner. Also giving them high availability without relying on the central system for records keeping.

Step 7: Kotak can now produce the documents in front of regulators while proving the KYC docs directly from the Blockchain with just one click.

Step 8: Kotak can also share their customers KYC docs with the associate companies & departments externally in a highly secure manner.

How can financial institutions use RecordsKeeper Blockchain ?

Currently, banks transactions are made by creating agreements between banks, as one would do while purchasing an item from a store. A common example of this would be a bank agreeing to purchase a specific amount of stock for a particular cash price from another bank. This process is often cumbersome and slow which takes up to several days and also incurs the risk that one party may revoke the agreement. This period is known as a settlement period, and it is an issue that is costing the financial industry quite heavily.

RecordsKeeper has the potential to reduce, and possibly eliminate, settlement times due to its digital nature, ensuring the timely and secure processing of these operations. Other uses include increased transaction security, among other benefits, eventually allowing for an overhaul of the banking industry, replacing traditional back-office clearinghouses and other outdated mediums that exist between asset sellers and buyers.

Combining shared databases and cryptography, RecordsKeeper allows multiple parties to have simultaneous access to a constantly updated digital ledger that can’t be altered.

Here are few areas of the industry most likely to see an effect are:

  • Clearing and Settlement : Securities play an important role than a complex use of Blockchain’s cryptocurrencies. They are a major factor in both mechanics and legal environment. The exciting key about Clearing and Settlement is that the central authorities govern the current industry structure. But the decentralized blockchains can or cannot work in a centralized operation. It can happen because the implementation runs as permission-ed by this central entity above the market convenience. The stock exchange companies and banks are now working with blockchain orientation so as to bring the global change of easy transfer and transaction. Blockchain experts and specialists maintain these chains to support and bring the digital awareness all over the world and to people depending on blockchain and as their right hand to get things done.Clearing and settlement are the interest at the moment, but blockchain solutions are not evident in this space in the first wave. It’s more likely to be noticed in the preceding waves. But it is up to us we to remember the crucial role these institutions play in financial markets.

    How do Clearing and settlement work?

    • Savings done through streamlined back office processes
    • Verification of the identity of the certified transactions
    • Keeps a record of transaction history
    • Strangers trade directly with each other without any trusted third party person.
    • Other useful help is automating buy, sell and supply transactions on a B2B and B2C basi

 

  • Trade finance: Trade finance is all dependent on the bills, tax payment, registrations , letters of credit etc. Blockchain can offer the best solution for this, all the vendors can access the documents from the Blockchain which is verified and cannot be tampered.
  • Identity: In banks individual identity need to be verified at every process such as for applying for a new account , loan or a credit card, if all the identification documents such as the aadhar card, pan card, residential proof all are uploaded on the Blockchain. The identification process will be fast and secure, Blockchain can play a major in the identification process of an individual.

Blockchain can really impact the banking industry and help  in decreasing the scams which are occurring more frequently these days, such as the Nirav Modi scam in Punjab National Bank.

 

What is the Use Case of RecordsKeeper for Government Regulations ?

Use Case : Government Regulation Polices over RecordsKeeper Blockchain

 

 

Identification documents or licenses verification is a tedious but mandatory job for all citizens. These documents can easily be faked, which has a direct impact on a number of government agendas, for example, governments are not able to implement health or food policies efficiently due to incorrect data recorded. Recordskeeper can effectively be used as a solution for this problem, records with proper and unalterable information can be saved over the RecordsKeeper Ledger which can be easily accessed when required.

This information is safe with Recordskeeper as the digest of the document is saved in the Ledger which when altered, gets completely changed making the verification process effortless. Recordskeeper platform aims to significantly reduce the time and resources spent on cross verification of the identification documents. Once the data gets stored in the RecordsKeeper blockchain by the document hash user can claim ownership on the file. By this mechanism, the chances of generating the fake documents get reduced. So, with the help of RecordsKeeper we can increase the authenticity of government identification documents.