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Global accounting firm Deloitte has partnered with a parachain project on the Polkadot ecosystem. The move will enable the firm to enhance digital identification protocols.
On May 4, Polkadot announced that Deloitte was the latest major enterprise partner to come to the Polkadot ecosystem.
It has chosen the KILT Protocol to provide cutting-edge technology for digital identities. According to the announcement, Deloitte will leverage KILT’s reusable digital identity credentials to support its KYC (know your customer) processes.
This is “vital for protecting financial institutions against fraud, corruption, money laundering, and terrorist financing,” it added.
Polkadot Parachain For Digital IDs
The KILT protocol, which runs as a parachain on Polkadot, vastly improves upon current KYC inefficiencies, which can put consumer data at risk.
It provides reusable credentials which are stored in customer wallets and remain under their control. The individual can then choose who they share their personal details with.
Deloitte will provide a browser extension to help customers manage their credentials. Deloitte will also digitally sign the credentials and can revoke them using the blockchain if customer conditions change. Micha Bitterli, head of Deloitte Managed Services, commented:
“By offering reusable digital credentials anchored on the KILT blockchain, Deloitte is transforming verification processes for individuals and entities.”
“As a Polkadot parachain, KILT offers the scale and security needed by enterprise partners,” added Ingo Rübe, founder of the KILT Protocol.
Moreover, decentralized identifiers (DIDs) can also be used for DeFi compliance, e-commerce, gaming, and new digital marketplaces.
Deloitte is an international professional services network headquartered in London. It provides industry-leading audit, consulting, tax, and advisory services for many of the world’s leading companies.
Therefore, the move is a pretty big deal for KILT and the wider Polkadot ecosystem.
KILT and DOT Price Reaction
The platform’s native token of the same name skyrocketed 41% on the news. At the time of writing, KILT was trading at $0.489, its highest price since late February.
However, the token remains down a painful 95% from its December 2021 all-time high of $9.80.
Polkadot’s native DOT token has had no such momentum and remained flat on the day. As a result, DOT was changing hands for $5.75 at the time of writing.
Despite ecosystem growth and adoption, the Polkadot token has not done much during the 2023 crypto rally. DOT remains down 89% from its peak price of $55 in November 2021.