Central Bank to use blockchain for bank-client relations regulation
By Rashid Shirinov
The Central Bank of Azerbaijan (CBA) will create a digital identification system for bank-client relations based on blockchain technology.
This is noted in the statement of the CBA on the main areas of the monetary policy for 2018 and the medium term, published on December 29.
The Central Bank is actively studying blockchain and will implement a pilot project based on this technology.
At the same time, the CBA will continue to expand non-cash payments. The implementation of the relevant program prepared by the Central Bank will significantly increase the use of modern payment infrastructure.
A blockchain is a continuously growing list of records, called blocks, which are linked and secured using cryptography. Each block typically contains a hash pointer as a link to a previous block, a timestamp and transaction data. Most often, copies of block chains are stored on a variety of computers and are independently of each other processed by them.
The first blockchain was conceptualized in 2008 by an anonymous person or group known as Satoshi Nakamoto and implemented in 2009 as a core component of bitcoin where it serves as the public ledger for all transactions.
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Rashid Shirinov is AzerNews’ staff journalist, follow him on Twitter: @RashidShirinov
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