A new norm from the National Monetary Council (CMN) allows banks to use blockchain ID to open customer accounts, according to Cointelegraph. OriginalMy is an example of a company that uses this system.
Resolution No. 4753 of September 26, 2019, defined that financial entities can choose the mandatory documents that customers must submit for opening accounts.
In addition, at the other end, CMN’s new rules have also allowed a bank to terminate any account in which it identifies irregularities with the information provided, however the customer’s balance cannot be blocked and must be transferred to other Institution.
In this way, companies can now develop Digital Identity solutions to be adopted by banks. In addition to OriginalMy, another example is the National Financial System Blockchain Network (RBSFN), associated with several banks.
Banks may use unique Blockchain ID in Brazil
According to Cointelegraph, the Brazilian Securities and Exchange Commission (CVM) is studying the implementation of a ‘unique’ blockchain network with the registration of all investors in Brazil. In this way, each registered client would give rise to a blockchain ID that can be used by other institutions.
The standard also facilitates the opening or closing of accounts by any service channel available in the financial institution, including the ones by electronic means.
The movement adds to others that are seeking to modernize the financial system in Brazil. Among them, the most important one is open banking, which will integrate different links from the payment chain in the country, including the blockchain and cryptocurrency sector.