Pakistan Banks Launch Blockchain-Based KYC Platform
Pakistan Banks’ Association (PBA) has signed a contract for the implementation of a blockchain-based know-your-customer (KYC) platform which will be developed by Avanza Group. The platform will allow banks to exchange the personal information of customers through a decentralized and self-regulated network.
The signing ceremony was held at the industry organization’s office in Karachi on Thursday and was attended by a number of officials, including its Chairman, Muhammad Aurangzeb and the CEO of Avanza Innovations, Waqas Mirza. The project is part of ongoing efforts of the State Bank of Pakistan (SBP) to strengthen the country’s anti-money laundering (AML) and counter-terrorist financing (CTF) control infrastructure.
The platform, called Consonance, will use blockchain technology to enable banks to standardize and exchange personal details with customers’ consent. This will minimize onboarding costs and improve customer experience when opening an account, thus “facilitating financial inclusion,” the PBA said.
The launch of the blockchain-based KYC platform is a major step forward for the banking sector in Pakistan. It is expected to bring about efficiencies at participating banks and will result in improvement in customer experience. It also shows that the country is open to exploring the potential of blockchain technology and is willing to use it to solve various problems.
The launch of the platform is a positive sign for the crypto industry in Pakistan, as it shows that the country is open to exploring the potential of blockchain technology. It remains to be seen if the country will find other use cases for blockchain technology in the future.