Going digital has been the norm from the start of this century, and now money seems to be going that same way. A Chicago based group focused on regulatory clarity and industry security is now keen on the importance of a “secure digital identity.”
One of the group’s speakers U.S house Rep Bill Foster emphasized the importance of security in the digital space.
“You can have the most rock-solid cryptographic guarantees of a Blockchain or equivalent and it doesn’t do you any good if people are fraudulently participating on it under anonymous names.”
Foster noted that some dishonest characters were taking part in illegal activities, making the space less reliable.
A Harvard graduate and blockchain programmer himself, Foster knows the potential of the technology and what it can do especially in the financial space. As co-chair of the congressional Blockchain Caucus, Foster has gained a wealth of experience over the years in various fields and knows what the technology can add to them.
Importance of third party anonymity
Foster mentioned the importance of third party anonymity involving a public-facing anonymous identity, with the caveat that pertinent details behind such an identity be revealed as necessary before the courts. He also added that people should have a trackable method for uniquely and securely identifying themselves.
This, I think, is a fundamental requirement, I believe, of digital contracts or almost all of the use cases that are talked about for this.”
He added that the blockchain space affords the public elements that enable the security and uniqueness needed to transform the finance industry.
“The missing point, and the essential government role, is that once in your life, when you go in to get your real ID card or your passport or something, that you have to be authenticated as a legally traceable unique person, and then you have to be biometrically deduped to make sure that you’re not getting another passport in another country under another identity.”
Need for international collaboration
For a traceability system built on the blockchain to work, there as to be international collaboration according to Foster. “This requires a group of countries to get together to set up this trusted ID ecosystem, and this is where we have to go.”
In alignment with Foster’s words and beliefs, two fellow blockchain Caucus high ranking officials put forward a draft proposal that seeks to legally enforce blockchain-based digital signatures.
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