KYC verifications are now being offered by multiple identity verification services provider with different features. KYC verifications are being utilised in different industries around the globe to validate the credentials of users either by an identity document or any other proof of identification. Blockchain technologies are also gaining prominence with passage of time.
Cryptocurrencies are not the only utility being offered by blockchain but the ultimate goal of data security and safe access to resources has been materialised with the help of blockchain technology. Here are some of the amazing benefits that can be availed by blockchain technology with the help of KYC verifications and KYC software that are being sold all over the globe.
Global Access via KYC verifications
Digital age has provided access to web based application and mobile application to a worldwide audience. Blockchain based technologies also allow for this globalized approach for technological adaptation but a blockchain technology integrated with KYC verifications pose an entirely different challenge. Identity documents from all over the globe must be recognisable by KYC software to authenticate the credentials forwarded by user to access a blockchain. There are several AI based KYC verification software available that can identify and verify official documents from all over the world.
Security of Assets
Although, access provided by blockchain is always secure and it is entirely imposible to either hack or even not being tracked after a hacking attack on Blockchain. But, interestingly, KYC verifications ensure that the access to a blockchain is provided only after thorough vetting is performed for the personal information provided by a potential user. Facial verification, document verification and many other formats of verifications make it entirely impossible to fake an identity or to provide a doctored identity document to prove that identity.
KYC for Regulatory Compliance
KYC verifications are regulatory obligations in several countries as authorities require businesses to collect verified information of their customers. In case a blockchain involves monetary transactions or funds transfer, AML compliance also comes into action and then companies require KYC software that also has AML compliance solutions integrated into them. It is important for blockchain products to have through check of the funds they receive for in-app payments, otherwise they can be penalised with multi-million dollar fines for failing to comply with AML regulations.
Way of the future
Data privacy and data security is attaining center stage in cyber and digital world. Governments as well as user rights organizations are asking tech companies, even the larger sharks, to make their products more customer friendly and elaborate on how customer data is used. There is bigger talk regarding transparency being ensured in future projects. Blockchain has already earned a bed reputation for itself for unfortunate reasons. Introducing KYC verifications in blockchain technologies will guarantee that peers of this technology are ready to go mainstream and eagerly want to adapt much more transparent business practices.
Blockchain and KYC verifications can entirely rewrite the way, we use technology and digital resources. All they need is a perfect mix of user friendliness and transparent business processes.