ING offers blockchain solutions to R3’s Corda
Netherlands’ largest bank ING hits the crypto news sphere again, this time offering a privacy-oriented solution for R3’s Corda blockchain.
The orange bank is not a newcomer to blockchain and has previously used R3’s distributed ledger to transfer funds in an encrypted fashion, demonstrating not only the possibilities blockchain has to offer but also the commitment of the bank to maintain a top-shelf position as a fintech provider.
While most wealth managers are still skeptic about DLTs, ING has been one of the most innovative players in the sphere, implementing blockchain technology to the core of its services and internal operations.
Corda is a private ledger developed by R3, an enterprise-level blockchain provider company that could be only compared to IBM and Hyperledger when it comes to strategy and organization in the sphere.
While we all get fancy with Bitcoin and Ethereum, R3 has been quietly working behind the CoinMarketCap curtain with organizations such as the Bank of America, HSBC, and ING, where it provided its cutting-edge blockchain services.
Why this matters
So, for a banking institution to offer blockchain solutions to one of the finest blockchain companies out there, I would guess that ING is more than educated on the matter.
More specifically, ING’s blockchain task force helped R3 to solve a security/privacy issue subjecting Corda clients, by integrating zero-knowledge proof (ZKP) protocols to the Corda notary, which is responsible for the network’s ability to verify the integrity of the transactions, eliminating possible windows for double-spending activity.
R3’s Corda blockchain might be a relative of Bitcoin, but it is quite different in its own way. Corda gives its clients the ability to store transaction data on a blockchain ledger, only unlike what happens in the Bitcoin blockchain, this data is not obliged to be transparent with all the nodes of the network unless it’s agreed by the respective group of nodes on a legal level.
Of course, that creates an interesting gap between legit and ‘fake’ transactions that could potentially be written by a malicious actor who anonymously could pick and claim or reject a transaction from the broader network.
ING’s ZKP solution can make sure a condition is true without necessarily revealing any other information regarding its creator, participants, and other transaction details. This enables transactions being verified without revealing sensitive information subjecting its parties, and it’s basically the secret sauce of a private blockchain of the likes of R3 and IBM.
Andrei Ilchenko, ING’s Global Head of IT said that the solution is tailored for the bank and not necessarily for the open-source community, as ING uses and seeks to further use R3’s Corda blockchain in order to provide better business services.