Friday, April 26, 2024
ReportUAE’s blockchain KYC platform to go national

UAE’s blockchain KYC platform to go national

The UAE Know Your Customer (KYC) Platform launched in August 2020 is getting a boost as there is a consolidated drive to make the blockchain platform the national avenue for KYC.

Dubai’s Department of Economic Development (Dubai Economy) and Dubai International Financial Centre (DIFC) have agreed to consolidate efforts and expand the UAE KYC Blockchain Consortium, positioning it as the national corporate e-KYC platform, the first of its kind in the GCC. The consortium comprises founding members Emirates Islamic, Emirates NBD, Commercial Bank of Dubai, Abu Dhabi Commercial Bank, HSBC, RAKBANK and Mashreq Bank as well as Dubai Economy and DIFC.

What this means is that the process of onboarding customers online will be streamlined, more secure and faster as verified e-KYC data between licensing authorities and financial institutions will now be shared. This would slash bank account-opening time.

The first phase of the project went live in 2020 led by Dubai Economy with Emirates NBD being the first to implement the platform. It was then followed by Commercial Bank of Dubai, Abu Dhabi Commercial Bank, HSBC and RAKBANK. The platform allowed companies to choose to share their data, in real time, with their financial institutions of choice. Since its launch last year, almost half of corporate e-KYC records in the UAE have been generated through UAE KYC.

“Dubai Economy is focused on strengthening our digital economy and the launch of the UAE KYC Blockchain Platform in partnership with our key banking partners is a testament to our ambitions to transform Dubai into a global investment destination,” shared Abdulla Hassan, CEO of the corporate support sector at Dubai Economy. “Following its launch in 2020, the platform has become increasingly crucial not only in simplifying the procedures for opening bank accounts for investors, but also in enabling banks to digitally receive verified KYC data. This initiative has a positive impact in attracting business and on the global ease of doing business ranking of Dubai and the UAE.”

The synergy between Dubai Economy and DIFC complements the Invest in Dubai Portal, a national initiative to support investors in discovering new commercial opportunities in the emirate and securing business licenses in a seamless manner through an integrated platform.

The Dubai Legal Affairs Department will assist both entities in formalizing the legal framework for the unified platform.

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