Blockchaining Identities

If there is something which has revolutionized the modern era, it’s the technology. There have been developments which have left everyone starstruck, and one such thing which seems to be making headlines every day is the Blockchain. Here I will be highlighting on, “Blockchaining Identities.” We have often used Blockchain technology concerning finances and transactions. But, this is a broad term which entails various other applications.

Talking about its uses in different verticals, Blockchain is a multifaceted technology which serves the objectives of various industries. It not only simplifies the task of the cross-border transactions, but its transparency and ease of use make it inevitable for companies to switch to this mode of functioning.

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What is Blockchain?

Well, Blockchain is a secure distributed ledger technology. Initially, this was developed to track Bitcoin (cryptocurrency) ownership, however, later it adopted new roles and is being used for anything of value like diamonds, real estate, etc.

It promises to deliver a transparent record system which is available to the people in the network making it less susceptible to fraud. It’s a known fact that Blockchain’s application in various non-financial cases has proven to be successful. Another use is Blockchain Identities which seems to be creating a buzz in the market. Experts in this domain are trying to link the Blockchain technology with identity application areas like passport, digital identities, e-residency, wedding certificates, birth certificates, etc.

Blockchaining Identities How and For Whom?

There is a great buzz in the market about Blockchaining identities, having this gives individual better control on their personal information and it also enables them to control who can access this information. Many companies have attempted to make use of its decentralized feature and combining it with identity verification. With the help of this, a digital identity is created which can act as a digital watermark. Once the digital watermark is with you, you can assign it to online transactions.

Blockchain Identity Use Cases-

This Blockchain technology finds application in the following areas-

  • Digital Identities
  • E-residency
  • Wedding certificates
  • Birth certificates
  • Login Accounts and many others

Why do you need a digital identity?

When we talk about digital identity, it is empirical for organizations to invest in it. It paves the way for interaction with multiple users in the digital work. When compared with the traditional identity system it is costly and fallible. And, here the digital identity comes to rescue. Since Blockchain forms the underpinning of digital technology; it has proven to be revolutionary.

Here are a few examples of the companies who are pioneer in this domain with much more to come-

  • Blockstack- It is the most significant and famous Blockchain identity system. It has registered 50,000 users. Here Blockstack Identities have profiles and unique names. It can have both private and public information attested by the user and can be verified by peers. You can use the Blockstack identities to register people, companies, website, software packages, etc.
  • Atencoin–  This is a first-generation identity based compliant digital currency.  National Aten Coin foundation heads this and supports the identification of blockchain-based technology and digital currencies.
  • Bitnation – It is a governance platform. The goal of Bitnation is to work on concepts like Blockchain passport and marriage certificate. This works similar to government organization; the only difference is Bitnation is unbound by geography and decentralization underpins it.
  • BlockVerify– It provides anti-counterfeit solutions using blockchain. It finds application in industries like luxury products, diamonds, pharma, and electronics.
  • Civic– It is an identity management system working on Blokchcin technology. It allows the user to register and validate their identities. This prevents identity theft and fraudulent activity on their credit reports. It aims to reduce online identity fraud.
  • CredyCo– It provides document verification SaaS. This makes use of smart contract and identity technology based on Blockchain.  CredyCo ensures the credibility of all the statements.

The final words-

It has become a global platform. Any sector ranging from banking to healthcare, national security to documentation to as simple as walking into a coffee shop, identity authentication and authorization is a must.

The current methods make use of a password-based system which is not as secure as the Blockchain identities. With blockchain technology emerging as a trend, using this technique in identification ensures safety and security of data.