India’s largest bank – The State Bank of India (SBI) – has revealed its intentions of implemented blockchain technology in a number of its financial processes.
SBI is not only India’s largest bank, but also a government-owned public sector bank and this move will infuse greater trust in blockchain technology in the country. SBI said that it intends to implement blockchain solutions in a number of financial processes including the management of its Know Your Customer (KYC) system. SBI was the first in the country to establish ‘Bankchain’, India’s first financial blockchain consortium that has as its members some of India’s biggest banks (both public and private) as well as technology giants like IBM and Microsoft.
The public sector bank has now revealed that it intends to implement a first of its kind decentralized Know Your Customer (KYC) system in the country using an enterprise blockchain solution. The blockchain based KYC will be implemented via a new partnership with Intel. According to the details provided by SBI, the blockchain solution will run on Intel’s Hyperledger Sawtooth, which is a modular platform for developing and deploying blockchains.
The blockchain will also be supplemented by Intel Software Guard Extensions (SGX) to boost the blockchain’s privacy, security and scalability. The blockchain solution will be delivered by Primechain, an Indian blockchain startup powering the Bankchain consortium.
According to SBI’s head of innovation Sudin Baraokar, the public sector bank is keen to develop blockchain use cases through collaborations with other banks to hasten the process of deploying beta platforms.
The consortium’s first completed project, revealed in June, saw a working group of major Indian banks develop a blockchain to share customer data. Dubbed ‘Clear Chain’, participating banks will be able to share KYC, ALM and CFT now Your Customer, Anti Money Laundering and Countering the Financing of Terrorism) details.