{"id":2708,"date":"2017-09-25T09:00:38","date_gmt":"2017-09-25T16:00:38","guid":{"rendered":""},"modified":"2023-05-31T16:17:29","modified_gmt":"2023-05-31T23:17:29","slug":"masters-of-their-own-data-banking-privacy-and-the-trusted-network","status":"publish","type":"post","link":"https:\/\/cm-edgetun.pages.dev\/en-us\/industry\/blog\/financial-services\/2017\/09\/25\/masters-of-their-own-data-banking-privacy-and-the-trusted-network\/","title":{"rendered":"Masters of their own data: banking, privacy, and the trusted network"},"content":{"rendered":"

It\u2019s not just financial institutions that have a data problem\u2014just ask anyone who has tried to correct an error with a credit bureau report. Whether in clicking the \u201cI agree\u201d button on unread user agreements, or in the form of information generated through the mining of oblique data sources, most of us have little to no control over our personal data, and with it, our privacy.<\/p>\n

Regulatory and technological drivers<\/strong><\/p>\n

Some jurisdictions, particularly in Europe, are trying to address the problem through regulations\u2014such as the \u201cright to be forgotten\u201d or the General Data Protection Regulation (GDPR)\u2014with the goal of empowering consumers to reclaim some control over their information. These regulatory strategies can be useful, but technology is also bringing tools that make it not only easier to respond to regulatory requirements, but also, conceivably, to make them unnecessary<\/em>.<\/p>\n

What\u2019s becoming clear is that data privacy represents an untapped opportunity for financial institutions. By virtue of their unique position in society and the economy, couldn\u2019t they (and perhaps shouldn\u2019t they), help us secure our privacy as they secure our assets? And, couldn\u2019t that become a new profit center for banks and other financial institutions?<\/p>\n

Identity and data<\/strong><\/p>\n

The key lies with our identities\u2014specifically, our digital identities\u2014and the data linked to them. What\u2019s beginning to emerge with technology innovations like blockchain and AI is the potential for returning data ownership back to rightful owners, giving them far more control\u2014and then layering on top of that intelligent services that help individuals and institutional customers make sense of it, protect it, and act on it.<\/p>\n

In other words, with their own blockchain-powered digital identities\u2014which would be unique, secure, and immutable\u2014customers could become the masters of their own data. They could selectively grant access\u2014whether in whole or in part, persistently or temporarily\u2014to different aspects of their digital identities and financial information. Financial institutions, for their part, would make use of advanced analytics and AI to offer their customers more control over their data, adding value with useful insight and proactive, contextual services.<\/p>\n

The opportunity for banks<\/strong><\/p>\n

The benefit to financial institutions would be at least three-fold:<\/p>\n