Blockchain Patent For Improved App Security Awarded To South Korea’s KB Financial Group

Blockchain, News | October 16, 2018 By:

South Korean financial holding firm KB Financial Group has been awarded a patent for a blockchain security solution.

KB Financial Group is a major player in South Korea’s financial services sector. It presides over KB Kookmin Bank, KB Kookmin Card, KB Investment & Securities and KB Life Insurance. With over $342 billion in assets under management, KB ranks alongside the holding companies of other major institutions such as Shinhan Financial Group and Hana Financial Group.

The holding company’s new patent is focused on creating a blockchain solution that can be used to improve security programs of FinTech applications. According to KB, the solution can separate the security program from the app, so that only the security program can be improved if an upgrade is needed. Its private encryption and decryption keys can also be separated and stored on the blockchain to enhance security against hacking.

“For example, even if a hacker hacked a customer’s mobile phone app, the security module is separated and illegal transactions can not be done,” KB said. “Even if a separate security module is hacked, the encryption key is kept in a blockchain network specialized for security.”

KB said they are planning to utilize the blockchain solution in overseas markets, such as Southeast Asia where security environment is weak.

“Southeast Asian countries are often vulnerable to hacking, where customers often use their phones to install illegal programs,” KB said. “But if you use our patented blockchain solution, you can prevent your app from being hacked even if your phone is hacked.”