How Blockchain Could Revolutionize the Identity Management Process

Identity management affects every one of us. In today’s digital world, people are more concerned than ever about their privacy - and for good reasons.

When almost all of our identity systems are centralized, it’s impossible to have full control. Something is bound to go wrong - as it already has, many times.

The truth is that no matter how hard we try or how many safety precautions we take, we are not in control of our own identity. If you’re not already worried about this, you probably should be.

In addition to the obvious security flaws of this centralized system, the identity verification process is unarguably long, laborious, and clunky. Opening a new bank account, or sending private information to the government, can take days, if not weeks to process.

While the rest of the world progresses, and we approach what many are calling the ‘Internet 3.0’, until now it has seemed like the identity management process has remained left behind and forgotten about.

Why Blockchain Solves the Problem

Thankfully, there’s an alternative to the current clunky, centralized system. And it’s called blockchain.

Essentially, blockchain is a distributed database. It maintains a list of ordered records called ‘blocks’. This list grows larger with each passing second.

Even if you haven’t heard of blockchain, you’re probably familiar with some of its applications. Bitcoin, the famous cryptocurrency that has been all over the headlines recently, is powered by blockchain.

The market cap of Bitcoin has recently surpassed $100 billion, and is being used globally by millions of people to make payments.

Blockchain hasn’t been around for very long. It’s been widely used for less than a decade. But its potential is massive. In fact, as of 2017, 15% of banks are expected to be using it.

Meet Selfkey: The Future of Identity Management

Blockchain-based SelfKey is an end-to-end digital identity system. It’s the platform currently leading the charge against centralized identity management.

Blockchain gives users full control over their personal data and also gives them the ability to instantly complete processes that would previously have been tedious and complicated due to the KYC (Know Your Customer) processes that are currently required.

This includes tasks such as applying for passports, residency, and financial services, buying gold, or incorporating a company, in a safe and secure manner. The full list of SelfKey’s services is available in their marketplace demo.

The company’s goal is to put their users right back into the center of the identity management process. They aim to create a massive identity ecosystem, where their users can transfer value among the participants.

It’s a big idea, and even a bigger step forward. But it could be much closer than we realize…

The Rise of Blockchain - And Why It’s So Exciting

We’re seeing more and more blockchain-based ideas popping up all over the news. What was once a new and mysterious concept only fully understood by the tech geniuses of the world could be on the verge of dominating mainstream media.

Here are just a few reason why blockchain applications are gaining so much traction...

• It’s decentralized, meaning no one has ownership of it. It isn’t controlled by the government, a corporation, or any other third-party.
• It completely cuts middlemen and brokers out of the equation.
• It’s very secure and can’t be corrupted.

It’s pretty clear to see why blockchain has so much potential. When your content is stored on the blockchain it is guaranteed to be safe, secure, and censorship-free.

Your files are no longer stored on one centralized server that can be hacked or broken into at any moment. Instead, data is spread across ‘nodes,’ which is basically a huge network of connected computers. It's almost impossible to break into.

One of the most exciting applications of blockchain is its ability to completely revolutionize the identity management process as we know it.

Looking Forward

Of course, there will be some skeptics. But whether we like it or not, the blockchain revolution is coming.

It took less than a couple of decades for the Internet to completely transform the way we operate, and we’re currently living in a world that is changing faster than ever before.

Revolutionary startups like SelfKey are gaining huge traction in a matter of months, and they’re expanding faster than we ever thought possible.

It’s clear that a better way of business and new ways to gain full control over our own identity and privacy is unfolding right in front of our eyes...and it’s only going to get more exciting from here.