Now, four major banks of Belgium, ING Belgium, KBC, BNP Paribas Fortis, and Belfius will use a blockchain to provide efficient customer services. This announcement was made on last Wednesday by the Isabel Group.
The Isabel Group provides financial services. According to this Group, the Kube application will be used by these banks to share data between the businesses. It will automatically facilitate the maintenance and verification of all the business identities. As per the records, it's the first in Europe to sign a draft agreement to this effect.
The blockchain is actually a digital ledger which is used to record information, tracking and asset tracking shared by organizations' cluster. The use of blockchain facilitates all the participating institutions to fulfill all the requirements to be prepared for illicit transactions and money laundering like identity verification etc.
Banks should verify the identities of the shareholders or the leaders regularly to avoid fraud and laundering. Although this process is really very time-consuming it should be done individually and regularly by each bank. Now, these participants can save a lot of time by sharing all personal or sensitive data via the Kube app.
Now, every client will require to enter their data once on the platform. Then, the bank will verify and validate this data in a very secure manner. After that, the information will be shared between the participating institutions. It will facilitate businesses to open accounts without any delay or threat.
If there is any modification in the data, it will also be shared so banks can access all the updated information.
The Belgian financial sector is the first one to share a decentralized and secure database through blockchain technology to identify companies.
The Isabel Group said that the other banks will join the platform very soon.