Following the reports of Brazil’s economy risks recession the real-time gross settlement system provider Ripple is considering to expand its presence to nations like Peru, Chile, and Argentina. Will Ripple’s blockchain rescue the economy of the South American region?
The article was updated on 17 February, 2020 by Amicus.
5 July, 2019 | AtoZ Markets – The company collaborates with Fundação Getulio Vargas per its University Blockchain Research Initiative and universities. Brazil resort to blockchain to rescue the economy.
According to the latest reports from Ripple’s representatives in South America and Brazilian financial institutions officials, important banks will present a blockchain platform, developed alongside dispersed ledger consortium R3, as well as the lender Itau. New Ripple’s blockchain platform is centered on insurance and exchange.
Ripple has already partnered with over a dozen Brazilian financial institutions and money transfer businesses — such as Santander Brazil, global payment support BeeTech and Banco Rendimento. Besides, as the local media reports, Brazilian authorities can also be setting a regulatory sandbox.
Brazilian Banks Are Analyzing Blockchain Technology
The head for Brazil in R3, Keiji Sakai in his latest statement noted that nine banks are currently engaging in Device ID development, a platform made to authenticate and verify signatures.
Joaquim Kiyoshi Kavakama, manager of the Brazilian Federation of Banks was speaking on Brazil’s domestic banking institution state. He mentioned the massive impact of weak economic growth. At the moment, the unemployment rate in Brazil stands at 12.5 percent.
Thus, due to the risk of a possible recession in the country, Brazilians are getting less opposed toward crypto. The Brazilian official Bruno Peroni of Atlas Quantum has presented the newest draft invoice, branded the Digital Provision of Public Services at Public Administration — Digital Government, which requires state and federal authorities branches to research technologies such as artificial intelligence and blockchain to enhance public services.
The Japanese Tech Giant Uses Blockchain Technology
Fujitsu Laboratories Ltd, the research and development division of a Japanese tech giant Fujitsu Ltd has developed technology based on blockchain that enables individual users and businesses involved in online transactions to confirm the identity of other parties in transactions.
The innovation analyzes the risk of falsification and the trustworthiness of the other party’s personal credentials in online transactions.
New Technology in a Brief
The technology is based on a Decentralized Identification (DID). It utilizes blockchain and improves the identification process of the other party’s personal credentials. It is when a user conducts a transaction online.
DID is a system in which a third party guarantees the accuracy of a given individual’s identity and personal credentials.
The identification process goes through a mutual evaluation of the users when a transaction occurs. It is by inferring the relationships between users based on past transaction data.
Evaluations (e.g. reputation and rating) for each user in a transaction recorded as a series of transaction data. The system converts the trustworthy transaction data about individuals shared on the blockchain into a graph structure. So, the relationships between users can understand.
A trustworthiness score attached to each user by weighting factors, including how many trusted users evaluate them highly.
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