CULedger completes blockchain identity pilot with three US credit unions
Three credit unions in the US have completed a pilot project with CULedger focused on the utilisation of blockchain in digital identity.
According to CULedger, Unify Financial Credit Union, Desert Financial Credit Union, and TruWest Credit Union all successfully implemented its MyCUID identity platform in their call centres.
CULedger claims its MyCUID can eliminate the need for passwords over the phone
The three chose to pilot MyCUID in their call centers specifically around high-risk transactions, as phone transactions are “a high-friction channel that fraudsters find effective and least expensive to attack”.
“Once my credit union fully identifies who I am and issues my MyCUID credential, other institutions like medical and government can trust and accept it too,” says Ron Amstutz, executive vice president of Desert FCU.
“We’re excited to eliminate the need for usernames and passwords. I have hundreds of passwords and imagine many of our members do too. With MyCUID, we’re able to reduce that burden with a safer, more secure option.”
Related: How blockchain transforms banking and financial services
CULedger claims that MyCUID users can verify their identity by using a biometric function on their smart phone, such as voice, fingerprint or facial recognition.
The vendor says that data from its pilot indicated that the average time to verify a member’s identity had been reduced from the industry average of more than 50 seconds to ten or less.
“As financial cooperatives, credit unions are more inclined to work together than their bank counterparts in order to best serve their members’ needs,” said John Ainsworth, president and CEO of CULedger.
“Our solution enables credit unions and their members to connect with one another on a much larger scale than ever before […] and our pilot programs have demonstrated the unique capabilities MyCUID provides to the member experience.”
Founded in 2017, Denver-based CULedger is funded by a number of credit unions – Unify FCY among them – and raised $10 million in funding for its blockchain platform in January.
