Data is your most worthy thing, but someone can use it against you. Privacy is one of the most crucial topics people and businesses, in general, are dealing with. Anywhere where data is getting stored, it can be tampered with and stolen. Here, decentralized identification systems using blockchain technology can play a critical role in the fight against the increasing problem of identity theft. Whether data or documents identity theft, Blockchain can be transforming.
Identity Thefts in Brief
Identity theft is the crime of procurement of the personal or financial information of another person to make use of their identity to do fraud, like making unauthorized transactions or purchases. Identity theft is performed in numerous ways, and the victims of the same are typically left with damage to their credit, name, finances, and reputation.
The high-technology techniques involve accessing corporate databases to snip lists of customer information. Once identity thieves or attackers have the information they are looking for, they can ruin a person’s credit rating and the standing of other personal information.
Identity thieves use computer technology to get other people’s personal information for identity fraud. To get such information, they hack into computers or even computer networks; access computer-based public records; use data-gathering malware to infect computers; browse social networking sites; or use misleading emails or text messages. There are numerous types of identity thefts like:
– Financial identity theft
– Medical Identity Theft
– Social Security Identity Theft
– Synthetic or cloned Identity Theft
These were only a few of the many identity thefts. One powerful way to prevent these is to constantly check the accuracy of personal documents and punctually deal with any discrepancies. In this risky time, the requirement for securing one’s identity is significant, and the way to do such a thing is by guarding your documents.
The role of Blockchain
Identity theft-oriented crimes have become a zone of concern. It can adversely impact the growth of digital economy-based growth. Since the questions circle the safety of the digital identity sector, professionals believe Blockchain can help address issues around identity management by insurance self-sovereignty via decentralized networks.
Moreover, there has been data that suggests that Blockchain’s utilization of smart contracts averts data manipulation. It ensures that linked identity management systems stay secure for identity holders. For example, smart contracts can play a role in ensuring that only the authorized parties can get access to data and identity proofs.
Blockchain QR Codes
Blockchain technology contains digital assets, including documents secured through powerful cryptographic keys. It is one of the main reasons that it is tough for attackers to manipulate data stored in the Blockchain. The data stays stored on multiple computers on a blockchain network, so if anyone wants to access crucial information, they will have to get access to all computers, which is nearly impossible in all cases. Even if the hackers get access to data and make any changes to it will be highlighted in the information. Hence, blockchain document storage is transparent and immutable. Once you have put a blockchain QR code on a document or data, you can be sure that only authorized people can access it. The hash value of the QR code is immutable and ensures tamper-proof data.
The Bottom Line
Storing any identity data on a blockchain will help both government and the public to avert identity theft. You can explore Blockchain solutions to prevent identity theft for your organization with ProofEasy.