SBI Ripple Asia, the Japan Payment Card Consortium which comprises of nine major credit card issuers as member, have announced a collaborative proof of concept (PoC) to fight fraud using blockchain technology.
The Japanese Payment Card Consortium, among which we have American Express (Amex), Credit Saison and Toyota Finance with two other payment-card technology providers will work with SBI Ripple Asia on the PoC expected to be achieved on Corda, a blockchain platform owned by R3.
The joint PoC will prevent damage wrought by fraudulent transactions by enabling the real-time sharing of data between parties using blockchain.
SBI Ripple Asia is a joint venture managed by the SBI Holdings and Ripple, a blockchain startup focusing on cross-border remittance. The venture was established in 2016.
Meanwhile, the selection of Corda, according to source is based on the fact that it has data privacy and security set-up.
The press statement stated that the data in the system is to be “shared only with those that have a ‘need to know’.”
Companies involved will have a Corda node each, while they are expected to achieve their personal security policy, but the data sharing among those nodes is secured by Corda.
While TIS, a respected Japanese IT firm, is part of the R3 consortium. The IT company will develop a secure and scalable information sharing system for the PoC on the Corda platform.
At the PoC stage, Information is to be shared between the participating card firms, however, according to the SBI Ripple Asia, the data sharing would be extended to other parties like the payment service providers (PSPs) and merchants in the nearest future.
Meanwhile, Hewlett Packard Enterprise (HPE)’s Mission Critical Distributed Ledger Technology (DLT) Lab is selected as a secure and reputable host environment where the testing of the new PoC would be done.