Good thought, bad made? – Coinbase wants to offer customers more decentralization

the crypto-stock exchange, Coinbase is conducting research on the block chain-based identity management. As Coindesk reported, a 17-person Team in the development of a decentralized App (dApp), with the help of Coinbase customers more control over personal data. In the implementation of it falls short.

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6. December 2018 share Facebook Twitter LinkedIn xing mail

Was A too well-known rallying cry of the Blockchain enthusiasts is "in the possession of your own data". The identity management and the use case for the Blockchain technology in General.

Personal data will not be stored as usual on Central servers of the company, but will remain on a Blockchain and are thus de facto not under the own control. The advantage: The company can on one hand drive no playing fast and loose with the data, and, on the other hand, data Theft or loss largely excluded. In short: The Single Point of Failure is eliminated.

Now Coinbase is conducting research to such a Blockchain solution. How Coinbase-Manager and head of the 17-member Task Force, B Byrne, told to Coindesk, will identify the Team, first of all, the areas in which more decentralization is desirable.

the Bitcoin-exchange respondents in the last time, a small part of their customers according to shared dApps.

"I'm looking at dApps, and who is used by our customers, which dApps. This is probably a good indicator of what kind of activities [our customers] to on-Chain-based want to perform“,

as Byrne to Coindesk.

KYC differently

A possible use case for more decentralization in the Coinbase-IT is the storage of KYC ("Know Your Customer"). This could simplify the registration processes for the different Coinbase-products significantly and more customers access to the Exchange grant.

The American crypto-exchange is at the same time realistic. The decentralized identity management via the Blockchain is not a Jack of all trades. Although there were some interesting areas, and in the case of an application seems to make sense; large sums of money in the development do not want to invest in the company, according to the report.

way, Because to be honest, Byrne is a total decentralization of customer data barely with the regulatory requirements of the financial authorities to be compatible.

So it remains in the focus of the team and the Credo: Somewhere a more useful application is found for the Blockchain technology.