MASTERCARD WILL USE BLOCKCHAIN FOR IDENTITY PROTECTION

Mastercard will use blockchain for identity protection announced the payment giant in a new patent filing published on April 12, reported Coindesk.

Last week, in a patent application released by the U.S. Patent and Trademark Office (USPTO), Mastercard describes a blockchain that could receive and store identity data. The system would store associated attributes of a person such as its “name, a street address and a tax identification number”.

Each identity would be linked to a public key and “the subordinate’s entity data file include a digital signature associated with a superior entity; generating an identity value for each identity via hashing the associated data file; and storing.”

The payment giant explains that the blockchain technology will eliminate fake identities of its system.

“The use of a blockchain for the storage of identity and credential data may provide for an immutable storage of such data that can provide an accurate verification thereof and also prevent the fabrication of such data.”

Mastercard plans to use a semi-private or a private blockchain in which only certain approved nodes will be able to update the identity information within the network.

The importance of these Mastercard-approved nodes is that they will “prevent the addition of data that may compromise the accuracy of the data stored therein,” as stated in the patent application.

As the payment giant explained,

“In such instances, it may be difficult for an entity to disprove a false identity, leading to an interaction with an inauthentic individual or entity. Thus, there is a need for a technical solution to provide for the immutable storage of identity and credential data that may prevent fabrication and inaccuracies.”