Mindtree launches DLT-powered merchant on-boarding solution
Mindtree, a global technology services company, has announced the release of its Merchant On-Boarding solution for acquirer banks and payment service providers. It uses Hyperledger fabric distributed ledger technology (DLT) to enable these financial institutions that facilitate credit card or debit payments to more quickly, seamlessly and securely onboard merchants as customers.
Acquirer banks and payment service providers need to quickly onboard new merchants as customers so that they can increase the volume of transactions they process and grow their business. However, on-boarding questionable merchants that authorise fraudulent transactions results in charges and losses that impact the bottom line. These institutions require technologies that can mitigate risk and help them comply with regulations such as anti-money laundering, Know Your Customer and Know Your Customer’s Customer.
On-boarding merchants is a complex process, involving due diligence checks and third party verification to ensure merchants are not involved in fraud. Mindtree says that its solution is designed to simplify and streamline this process using DLT technology.
The solution is developed on a Hyperledger fabric channel, a private distributed ledger framework for communication between members for all merchants that ensures secure and private sharing of document approval and information between all dependent stakeholders. DLT offers capabilities to enable transactions to be authenticated and authorised, securely and transparently. This ensures that data is transmitted within a secure network and accelerates information sharing across all parties, ensuring data is protected.