Rachael Giannetti on Compliance and Blockchain

Blockchain has been quite the buzzword for a few years now. Blockchain first became famous with the rise of cryptocurrencies like Bitcoin, but since then, it's rarely been out of the news. Experts are constantly and innovatively applying the use of blockchain in a number of industries. Although it's been implicated in some scams, it's becoming clear that blockchain's biggest strength may be in the compliance arena.

In some ways, blockchain is already being used for compliance. Companies like Accenture and DHL are employing blockchain technology to prevent tampering with pharmaceuticals. However, this is really just the beginning. Blockchain has potential applications in almost every industry in the world. From finance to medicine, we all have uses for blockchain technology.

Blockchain's biggest strength is that it employs encryption. Blockchain is like one long accounting ledger. It records a transaction, then encrypts the bundle of information, then moves onto the next bundle. This means it's very attractive to industries like finance where regulatory compliance is extremely important.

Blockchain also has the potential to create unchangeable records that regulators can reference. It's a great way to show a chain of custody in situations where that's important (i.e., research, medicine and law enforcement). It's also a way to prove that people are following the processes they claim to be using. This means that blockchain has the potential to simplify audits and regulatory investigations.

Furthermore, big corporations will find that blockchain lets them store records efficiently, securely and for long periods of time; all without taking up physical space or energy from internal departments. Unlike paper, it's encrypted and hard to tamper with. Even when blockchains are hacked, it's difficult for the hackers to get away with much; each unique packet of information is secured individually. Thus, it is difficult to breach a lot of data at any one time.

Blockchain is being developed more and more everyday, by consortia and open-source organizations. As this technology is refined, it will become more and more widespread. How can Blockchains help your business?

Originally published on RachaelGiannetti.com.

Rachael Giannetti is a compliance manager for a registered New York, Florida, and New Jersey Mortgage Broker specializing in residential loans. Since her start with the company in 2011, she has been instrumental in numerous implementations and developments, and credits her success to her ability to stay on top of compliance news and trends. Where many find compliance to be arduous, Rachael loves the opportunity to face challenges and find the perfect solution. Giannetti earned her Bachelor's degree in Public Relations from Hofstra University, where she also minored in Political Science. She then attended the University of Bridgeport where she earned a Master of Science in Education, completing her graduate degree. For all things compliance, be sure to visit her website at RachaelGiannetti.com.