Brokerage firms to begin pilot project on blockchain-based authentication service

SEOUL, July 11 (Yonhap) -- South Korean brokerage firms plan to provide a joint authentication service based on blockchain technology, an official said Tuesday, in the latest move to further strengthen security.

The pilot project -- which involves 25 securities firms and five blockchain companies -- is set to begin within this month, said Lee Sang-gi, an official handling the issue at Koscom Corp., the system manager of South Korean bourse operator Korea Exchange.

Lee said the brokerage firms plan to provide full-scale financial services based on blockchain around October, though the exact timing could change.

The system operator made the comment in a seminar on electronic finance organized by the Bank of Korea in central Seoul.

Blockchain is a key technology for digital currencies, enabling incorruptible data sharing across a network of individual computers. As a kind of distributed ledger, it records and tracks financial transactions.

The blockchain platform allows participants to share content through the distribution system. It takes less money and time to establish the platform but boasts safety as the distributed information is immune to forgeries and alterations.

entropy@yna.co.kr
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