How is the issue of identity theft solved by blockchain technology?

In the digitization world, the requirement for managing & securing valuable documents is becoming very crucial. Day by day, the generation of vast amounts of digital artefacts such as health records, property registration records, educational certificates, employee service records etc have increased. The inefficiency of the manual & paperwork is hugely felt across various organisations. Document security is something everyone should think about but data stored in the blockchain can be extremely beneficial. Let us read about the blockchain document security process.

 

 

Issues faced while managing documents:

 

Loads of documents are tackled by employees & processed, some on paper and mostly in digital formats. Documents like contacts, invoices, payroll delivery notes, purchase receipts, payment receipts, reports and so on. It is not at all easy to make a list of all these documents. The document flows are the biggest headache and arduous job for most organisations these days. As of now the latest models do not permit detecting false or duplicate documents. It ultimately leads to disorganisation and puts document security at threat. It is also seen that employees misplace documents and are constant. According to research, around 90 % of the worker's work centres on searching documents. 

 

The generalised disorder has made the organisation turn to digitalization for finding the ultimate solution to all the above-mentioned problems. More organisations /companies are incorporating document management solutions that can permit them to automate major portions of the work processes. Blockchain secure documents, then why not this technology can serve best for document management systems?

 

How document management becomes streamlined by blockchain technology?

 

One technology that promises to transform the method of document management and put a stop to all outcomes of issues is - Blockchain. It is a distributed ledger and chains of blocks linked. Blockchain is becoming the commercial alternative for conveying all sensitive information securely that remains unaltered. Let's give some examples: In the context of finance, many banks are into testing processes for ensuring the integrity & security of all economic transactions. Not only in the finance sector, but blockchain has also paved its way in transport & logistics, the food industry, healthcare, education etc.

 

>While talking about document flows in organisations, blockchain technology can assure relief. The usage of distributed networks helps in validating and verifying every document either entering or exiting your organisation. 

 

>The blockchain-based file system can verify a particular document's location within a few minutes. Users can detect any kind of manipulation. The blockchain document security method is strong to avoid forgery.

 

> The information can be accessible to the organisation's partner and that can provide transparency in the processing of documents

 

> The conventional issues of duplication can be completely resolved if blockchain technology is carefully implemented.

 

> Storage of documents becomes scalable as the "storage of hash" occupies less space.

 

Any document forgery or fraud can leave an organisation's security parameters in danger. Blockchain technology offers transparency and enhances the integrity & availability of valuable data. Blockchain secure documents and with it, document management systems can be boosted.