Raonsecure, a South Korean biometric authentication firm, has teamed up with Seoul-based blockchain developer The Loop, to develop an authentication system for online financial services.

The firms signed a memorandum of understanding on Feb. 12. 

Through the partnership, Raonsecure is expected to build a biometric authentication system on a decentralized platform provided by The Loop.

Raonsecure follows the “fast identity online” security standard, which uses fingerprint, iris and face recognition. The planned system will use “smart contracts” which enable direct transactions between parties without a third party intervention.

The move comes as the government has deemphasized reliance on the public certificates for online authentication. In January, the Ministry of Science and ICT hinted at abolishing the mandatory use of public certificates.

Raonsecure, founded in 1998, has provided biometric authentication solutions in Korea, including banks, credit card firms and mobile payment services.

The Loop, founded in May 2016, has been engaged in creating private blockchain infrastructures for a consortium made up of dozens of local brokerages, and is the developer behind a project to build blockchain-powered infrastructure called ICON.

By Son Ji-hyoung 
(consnow@heraldcorp.com)