Officials launched Dubai's blockchain-based identity verification system after announcing it in the second quarter. The UAE Central Bank built the platform and brought on more than 120 companies and n
Officials launched Dubai's blockchain-based identity verification system after announcing it in the second quarter. The UAE Central Bank built the platform and brought on more than 120 companies and numerous banks as users.
Omar Bushahad runs the Business Registration and Licensing division at Dubai's Department of Economic Development. "We are very proud to announce that the UAE KYC Blockchain Platform is now production-ready with over 120 companies already instantly onboarded by Emirates NBD with active and operational bank accounts," he said. "This is one of the initiatives that contribute to Agenda Number One of Dubai Model which focuses on improving customer experience."
Authorities transferred every Dubai trade license onto the blockchain in phase one, covering about 40 percent of all licenses across the UAE. Banks and financial institutions could access customer data and receive real-time verification updates through the platform, cutting delays in identity checks that had slowed traditional processing.
Officials positioned the system as a driver of economic recovery following COVID-19 disruptions. Astyanax Kanakakis, Norbloc's CEO, commented that the UAE stands "as one of the first countries taking significant measures towards creating a digital low touch economy with simplified processes ensuring that business can continue to thrive in the post-COVID environment."
The government plans to expand this approach. Officials plan to digitize 50 percent of all government transactions using blockchain by 2021. To coordinate this effort, they assembled a Blockchain Council with members from financial and non-financial sectors. Council members will work to identify how blockchain increases efficiency and reliability across government and corporate operations.
The UAE's strategy mirrors an effort China started in 2018. Officials in both nations are competing to establish themselves as blockchain leaders, and Australia, Japan, and other countries are studying which approach proves more effective. The two nations' approaches may influence how other governments proceed with blockchain adoption.
