“Trust, but verify” was the signature slogan President Ronald Reagan used when discussing U.S. relations with the Soviet Union during the 80s. And interestingly, it was a phrase he adapted from the Russian proverb “doveryai, no proveryai.” Now, some 35 years later, the phrase has been reimagined into a calling card for the blockchain community. But instead, we say, “don’t be evil, can’t be evil.”
Simple in its form but complex in its meaning, those words highlight the differences between financial transactions of the past and financial transactions of today. That’s because blockchain offers organizations a way to move from a don’t be evil approach to a can’t be evil approach. A don’t be evil approach required financial institutions to both trust and verify. But with a can’t be evil approach, all that’s needed is verification.
Let’s face it; financial infrastructure is prone to misuse. But blockchain offers organizations greater control and security thanks to a built-in audit trail, powerful authentication methodologies and transparency.
Auditability
One of the most powerful features that blockchain offers the payments industry is built-in auditability. When something gets put into a blockchain, it’s what’s called immutable. It cannot be changed, forged or deleted. And that’s extremely important considering that a lot of fraud happens when bad actors simply change financial records. Case in point, the Enron scandal of 2001.
Continue reading: https://www.paymentsjournal.com/three-ways-blockchain-makes-payments-more-secure/
Simple in its form but complex in its meaning, those words highlight the differences between financial transactions of the past and financial transactions of today. That’s because blockchain offers organizations a way to move from a don’t be evil approach to a can’t be evil approach. A don’t be evil approach required financial institutions to both trust and verify. But with a can’t be evil approach, all that’s needed is verification.
Let’s face it; financial infrastructure is prone to misuse. But blockchain offers organizations greater control and security thanks to a built-in audit trail, powerful authentication methodologies and transparency.
Auditability
One of the most powerful features that blockchain offers the payments industry is built-in auditability. When something gets put into a blockchain, it’s what’s called immutable. It cannot be changed, forged or deleted. And that’s extremely important considering that a lot of fraud happens when bad actors simply change financial records. Case in point, the Enron scandal of 2001.
Continue reading: https://www.paymentsjournal.com/three-ways-blockchain-makes-payments-more-secure/
