Samsung Unveils BankSign Blockchain Tool to Streamline Banking

Samsung’s IT wing ‘Samsung SDS’ unveiled a blockchain-based certification platform BankSign in order to streamline the banking process in the native homeland of South Korea.

BankSign, which was initially launched by the Korea Federation of Banks (KFB) in June, aims at strengthening the verification systems of the domestic banking sector while digitizing the internet and mobile banking processes. This blockchain-based platform provides seamless integration of allowing customers to transact using the mobile banking systems of any other banks.

South Korea’s local media outlet Yonhap reports that under the BankSign certification, users can transact on different banking apps. However, the verification will be done by a single app through patterns, fingerprints or passwords for authentication.

As per Samsung company executives, the security of BankSign is assured by connecting the banks’ systems into a data-sharing network. Moreover, the certification data within this network can remain valid up to a period of three years. The security of the BankSign platform is further strengthened by the inherent immutability of the blockchain network.

Vice President of finance business at Samsung SDS Hong-Jun Yoo, said: "BankSign is the first application of the much-anticipated blockchain technology on banking services ... The company will continue to expand its digital transformation business, which will bolster competitiveness of banks and financial institutions.”

Blockchain-based BankSign certification will come as a major replacement of the 20-year old verification system which is now proving out to be inefficient in the face of emerging new technology.

The South Korean technology giant Samsung launched its IT subsidiary Samsung SDS three years back in 2015. Since then, Samsung SDS has been involved in a multitude of blockchain projects.

Last year in 2017, Samsung SDS launched its first blockchain business platform called Nexledger. The company also announced Nexsign, a biometric authentication solution allowing customers to access multiple services through a single ID verification.

Nexfinance, a digital finance platform powered by artificial intelligence and blockchain technology is another Samsung SDS creation. This platform works to automate the integration of financial records from different financial companies while streamlining the process of insurance claims, getting product recommendations as well as managing credit card loyalty points.