
For example, the Estonian smart ID card was issued since 2002 and serves as a recognized identification method across the EU. Another example is Aadhaar, which is a unique 12-digit identity number issued to all Indians based on their biometric and demographic data. However, earlier this year, this innovation has brought about a local catastrophe, demonstrating once again that vulnerability exists not only with users, but also in the storage of such information.
Lack of security in standard digital identification
In January, the Internet and Community Center of India warned residents that, due to leaks from government data centers, 135 million Aadhaar accounts with sensitive financial information appeared in open access on the web. The leak was not a deliberate crime but because of the negligence of government officials, resulting in financial fraud mass scale.
The digital identification of persons and legal entities basically corresponds to the paradigm of digital economy and digital jurisdiction. Along with that, darknet is now a booming personal information market, where data is compromised from all types sold cheaply like chips. The need for better security where sensitive data is considered to be the number one problem for the development of virtual space.
Early adopters of blockchain technology praised crypto emergency due to their anonymity and anger of their freedom. The mood still exists, but digital jurisdiction begins to coincide with the rise of the digital economy. It is formed as a result of the realization that there is no legal arrangement or possible relationship in anonymous space. Some people may think of it as bad news, but missionary from cryptoworld has happened.
The year 2017 begins with an attack on the three largest crypto-korean exchanges in China, initiated by the People's Bank of China. During a thorough inspection, the bursa was forced to withhold their activity, resulting in lower bitcoin levels. Ultimately, the exchange is allowed to continue operations with substantial restrictions and requirements to integrate KYC & AML standards, as well as mandatory identity verification procedures for customers. This is in line with most of the US crypto-kardiak exchange that gives access to their services only to verified users, especially when handling large amounts of funds.
Unable to control this powerful and roaring crypto stream, governments can easily try to take this path under their control, determine where money goes in and out of the virtual economy: exchange, trade services, etc.
The restrictions, which seemed elusive a few years ago when the crypto trend just broke up now suddenly came true.
Blockchain solution
It is almost inevitable that digital identification will be the basis for legal relationships in future digital jurisdictions. Digital rights and their protection must be linked to the personality or legal entity, to obtain legal status.
In this case, again, blockchain gives us a secure and transparent solution that ensures the security and authenticity of sensitive personal or company data.
By overcoming the power of blockchain, the Jincor project, which builds a platform for B2B interaction, aims to provide digital identification services for companies and individual entrepreneurs. This digital ID will be a basic element for the functioning of corporate law that fully operates in future digital jurisdictions.
The incorporation into the digital legal framework is the need for companies that want to use blockchain technology such as smart contracts or crypto payments. Through the digital legal framework, counter agents will know that they interact with legitimate entities or individuals. As a result, digital identification is a key element for maintaining trust in a decentralized society.
A decentralized identity solution is a hot topic in the current block room. One of the most interesting services is the Civic, which was launched by Gyft founder, venture capitalist and blockchain star Vinny Lingham. The Civic app looks and works like a digital wallet, but instead of money, it secures personal information, while letting users share it selectively.
"Basically," Lingham explains, "the Civic validates your personal information and identity, stores it on your phone and only you can see or use that information." This decentralized approach to storage and identity-making creates a bridge between the real world and the cyber. credentials, according to the startup website.
Jincor appreciates this innovative approach and at this stage of development is considering the possibility of integrating the Civic solution with Jincor services, so that corporate IDs can be associated with the owner ID, which will make the whole space more reliable.
In one of my previous articles, I illustrate how a decentralized arbitration system can be applied to the Jincor blockchain platform. In case a company considers a smart contract as a way to settle an agreement, it makes sense for each side to foresee a possible dispute as well. Regardless of the type of contract, disputes may arise after any agreement, and a blockchain agreement is not an exception. In the Jincor ecosystem, smart contracts are only available to verified users.
Digital identity verification services potentially streamline business settings in the blockchain universe, while ensuring the security of sensitive data.