Proofi by LTO Network brings its KYC solution to DeFi and blockchains via Chainlink »CryptoNinjas

Proofi by LTO Network brings its KYC solution to DeFi and blockchains via Chainlink »CryptoNinjas

Dutch blockchain LTO networkannounced today that Proofi by LTO Network will make its identity data available to the multi-chain DeFi ecosystem through Chainlink, a leading blockchain oracle solution.

Chainlink is an integral part of this process, as it will help make identity verifications on the LTO network available to the wider blockchain ecosystem. By enabling seamless KYC / AML identity verification for DeFi users, Proofi aims to make it easier for protocols and private companies to access new customers.

Ultimately, this will allow DeFi projects to remain compliant with state regulations without the need to store user data on their centralized servers.

LTO has chosen to transfer its data to the chain through the Chainlink network because it is secure, resilient to the future and is the standard for connecting data providers with smart contract developers.

At Chainlink, Proofi uses the biggest Oracle network in the blockchain industry, which allows Proofia to reach the widest possible range of developers in the smart contract ecosystem.

Identity and privacy requirements are a significant cost and burden for both startups and corporations. The top 500 companies worldwide have spent $ 7.8 billion on GDPR compliance and often see a 35% dropout rate when users are asked to complete long-term KYC / AML checks.

These compliance processes can be particularly frustrating as requirements can vary significantly depending on the beneficiary’s country of residence. However, many of these regulatory requirements arise only because companies store user data.

Proofi effectively enables DeFi protocols to transfer the cost and burden of collecting KYC / AML information. Instead of having to check the user’s information directly, they will be able to verify the confirmation on Proofi to see if a person is legally allowed to participate in the project.

For example, Proofi will allow the project to check the age of the beneficiary and the country of residence without having to collect, review or store this data. While the certificate will be stored on the LTO network, by integration with Chainlink, these certificates will become available throughout the blockchain ecosystem.

Chainlink Network offers an oracle infrastructure, with features such as:

  • Credential management – Nodes can securely manage API keys and account logins, leading to seamless integration, with Chainlink nodes that can purchase Proofi API subscriptions in the same way that traditional users work today.
  • Blockchain Agnostic – since blockchain is agnostic, it means that data can be available in any current or future blockchain environment.
  • Widely accepted – Chainlink is the most widespread Oracle network in the blockchain industry, offering us access to a huge addressable market of potential data consumers.
  • Provably Secure – The platform is a thoroughly revised open-source software designed according to leading academic research, and has a proven history of helping to ensure tens of billions of dollars in live value in production.

“Becoming a data provider on the Chainlink network is crucial for Proofi because it helps make our identity solution available to the wider DeFi ecosystem in a highly secure, decentralized and efficient way.”
– Arnold Daniels, chief architect of the LTO network and co-founder of Proofi

Source link

Leave a Reply