Blockchain will enable strict GDPR compliance
Published by: Albert Gibosse
Although GDPR regulations came into effect on May 25 of 2018, it was first passed into law since April of 2016. The law was devised as a response to the increasingly theft-prone personal data environment with two main goals: protect consumer data integrity and enforce enterprise security measures that pertain to them.
Distributed ledger technology(blockchain) is designed to ensure privacy as well as security, which will further guarantee compliance with the hallmark clause of the GDPR that requires that “privacy by design” be built-in by being incorporated within the very foundation of every system that deals with consumer data privacy and security, rather than treating them as secondary concerns. The law further stipulates that the system must be designed with the goal to minimize extraneous data collection and guards that is necessary for operations.
Blockchain’s public and private key system allows participants to send and receive data with nearly perfect anonymity, depending on the application. The private key allows for access, while the public key is an address for inter-user transaction detached from any personally identifying elements.
Additionally, by removing third-parties and central authority, distributed ledger systems eliminates the vulnerabilities commonly exploited in centralized data repositories. Distributed ledger security makes single-breach failures a near impossibility.
Blockchain’s unique immutable and transparent nature will further strengthen GDPR compliance as well as trust. Blockchain creates a unique signature for each digital record, such as data transactions, events, and documents, and stores these signatures in an unchangeable ledger called a proof chain.
Evidence owners receive a receipt with a token to enable proof certificates based on the seals to be obtained whenever they are needed, upon the making of new evidence seals. These proof of certificates can verify claims for all parties involved, providing clear evidence of an action or claim.
Moreover, blockchain provides the most reliable solution for compliance with new and increasing international regulations vis-a-vis data collection, storage, and security. Its decentralized and minimally invasive nature, along its immutability and availability of a proof of chain, further ensures resistance to malicious (or negligent) data corruption and makes it ideal to ensure compliance with GDPR’s principles of privacy by design.
Blockchain’s key feature put information back in the control of its owners, wich makes blockchain the most viable option for companies looking to ensure total GDPR compliance.
GDPR will encourage increased blockchain adoption!