Banking News

Samsung launches blockchain for banking authentication

samsung

Yesterday Samsung SDS announced that it has completed development of the blockchain-based certification service BankSign.

Samsung SDS developed the service in conjunction with the Korean Federation of Banks (KFB). The project aims to simplify the notoriously complex Korean banking registration system.

The current system forces customers to renew their mobile digital certificate every year with each bank they use. However, BankSign allows a digital certificate from one bank, with a simple additional authentication, to be sufficient to use the mobile banking system of other banks.

Additionally, the authentication process has been simplified with passwords, finger-print, and pattern authentication.

BankSign has also improved the lifespan of each digital certificate – from one to three years. Samsung SDS says this is due to the increased security offered by blockchain. A shared ledger of certificates makes it far harder to forge a certificate. Plus real-time authentication information sharing and encrypted data all contribute to security.

Executive Vice President Hong-Jun Ryu says, “BankSign is the first example of applying blockchain technology, which is receiving a lot of attention, to banking services. Samsung SDS will expand its digital transformation business to enhance the competitiveness of banks and financial institutions.”

This marks the next step for Samsung SDS, which launched its smart contract platform NexLedger in 2017.

The Samsung subsidiary has now expanded its reach from logistics and public sectors to the banking system.