Suning Financial Services Launched China’s First Blockchain Based Blacklist Platform
Suning Financial Services, a leading O2O financial service among the top financial groups in China, launched a blockchain-based blacklist sharing platform on the 28th of February. This platform uses HyperLedger fabric technology, to complete the data encryption and storage of financial institution blacklist on the blockchain.
Financial institutions may access to the consortium blockchain through nodes that are developed independently, to carry out data upload and query business based on blockchain blacklist. It is the first blockchain-based blacklist sharing platform in China to be used in financial industry.
This blacklist sharing platform implements the national secret algorithm based on the fabric of the consortium blockchain, and enables four major functions of adding, querying, deleting data on the blacklists and complaints. Specifically, financial institutions may publish their own blacklist data independently on the blockchain, as a transaction, to earn points, which can be used to query the blacklist data released by others. When users find fabricated data, they may use the complaints function to prosecute the data provider in the system.
Blockchain experts at Suning Financial Research Institute said that, by using blockchain technology, the platform implements a decentralized blacklist-sharing mode without any operating agency and solves the pain points of the industry, includes inaccessible and disperse of blacklisted data. This blacklist system requires low cost, which may effectively reduce the operating costs for financial institutions, as well as protect customer privacy and the interests of financial institutions.
It is noteworthy that, Suning Financial’s blockchain-based blacklist sharing platform also set up a decentralized alliance management committee. This committee will gradually absorb a number of domestic banks, financial enterprises and internet financial platform to join in.
In the future, as the blockchain technology develops, Suning Financial Services plans to add more kinds of financial credit data such as greylist, whitelist and customer label to their blacklist sharing platform, to create a cross-industry credit data sharing Platform. This platform may improve the anti-fraud and risk management standard in the financial industry and reduced the operating risks and capital costs for financial institutions with full protection of customer privacy and trade secrets of financial institutions .