Know Your Customer with Blockchain

Security and reusability thanks to Blockchain

Know Your Customer is a process that covers all activities related to verifying the client’s identity and determining the potential risks of starting a business relationship. The process goes along the lines provided by banking regulations, Anti-Money Laundering and Due Diligence. It needs to be repeated many times when a customer goes to one branch of a bank to buy a product and, later on, decides to visit another branch of the same bank - all initial KYC checks are then repeated. Customer data is sensitive information that needs to be handled with safety as access to it is required for different departments and branches.

KYC Client Onboarding offers an automated solution that accelerates the KYC process thanks to Blockchain. The employed Hyperledger Fabric technology provides a permissioned blockchain infrastructure that uses peer nodes with precisely defined roles to execute Smart Contracts (“chaincodes”) and store the results in cryptographically safe, consistent blockchain structures.

Time and cost saving

Reduction of necessary steps

Costly checks of Client data (PEPs, UBO, UPC) can be reused by many departments that now have access to already verified documents, without repeating the full check.

Blockchain-enabled security

One data store, one version of truth

Access to reliable data with entire immutable history of changes applied thanks to the solution being based on DLT - a cryptographically consistent system of record (SoR).

Secure permissioning

Controlling access to specific documents

Deep permissioning methods enable to share data between allowed participants only; participants can only see the data they have permission to see.

Our solution offers an append-only, cryptographically consistent system of record. It supports keeping one version of truth for sensitive client data. When an employee reaches for the data, they automatically obtain the correct version, checked by the logic of interconnected nodes.”

Olga Jędrzejczak Lead Business Analyst

GFT Blog Post 12/07/2019 #blockchain

Know Your Customer better – thanks to blockchain

Know Your Customer (KYC) is a process that covers a number of activities related to verifying the client’s identity and determining the potential risks of starting a business relationship with them. At GFT, we have developed a Hyperledger-based tool that addresses the client onboarding part of the KYC process. How does it work? Here we look at the business flow and our implementation of distributed ledger technology (DLT).

GFT Blog Post 12/07/2019 #blockchain

Know Your Customer better – thanks to blockchain

Know Your Customer (KYC) is a process that covers a number of activities related to verifying the client’s identity and determining the potential risks of starting a business relationship with them. At GFT, we have developed a Hyperledger-based tool that addresses the client onboarding part of the KYC process. How does it work? Here we look at the business flow and our implementation of distributed ledger technology (DLT).