Vietnam Blockchain Corporation (VBC) VBC introduced the application of blockchain technology in finance called Trustless Credentials in the Demo Day, on Fintech Challenge Vietnam (FCV) 2019 with the theme “Supporting digital transformation of credit institutions towards improving access to banking – financial services in Vietnam”. The competition was organized by the State Bank with the support of the Mekong Business Initiative MBI and funding from the Australian Government and the Asian Development Bank (ADB).
Trustless Credentials is a solution to verify credit records applying blockchain technology. Each customer is provided with an identification code, expressed in the form of a QR code. All customer information, loan documents, insurance documents, payment history, repayment history are easily accessed personal information on smartphones and computers connected to the Internet. Information about the transaction process is presented transparently and clearly, making it easy to detect immediately if there is fraud or confusion.
In particular, thanks to Blockchain’s hard-to-edit and erase advantages, The information will become a reliable reconciliation to help borrowers and banks to verify accuracy and protect rights when an incident occurs. Financial transaction history stores safe and confidential. The data is stored in a decentralized manner and only the holder of the Secret Key is able to conduct legal transactions with its data as well as being allowed to send information to the blockchain nodes on the system. Blockchain will help speed up processing, reduce the complexity of paperwork and lower the cost of credit application processing.
Mr. Do Van Long, Director of Vietnam Blockchain Joint Stock Company shared, “Fintech is considered a trend of future banking transactions. Investment activities, cooperation with Fintech suppliers have been strongly promoted by banks around the world in recent years, and have become a trend taking place in Vietnam. Blockchain technology, with the ability to share transparent data information in real-time, space-saving storage and high security will certainly be one of the indispensable technology applications in the strategic step of banks and Fintech organizations.”
The FCV 2019 contest aims to encourage the development of financial technology, promote cooperation between the financial sector and technology solution providers to promote comprehensive financial development in Vietnam. Over two seasons, FCV has received the participation and enthusiastic support of the Fintech community at home and abroad. If the 2018 season, the number of applications registered is 141 companies, this year this number will increase to 208 companies from 28 countries around the world. The submissions this year focused on big data and data analysis using artificial intelligence, access to financial services and cybersecurity, which are considered to be the priority areas of the SBV. Selected Fintech startups present their solutions to an independent appraisal board.