Why are Counterfeit Certificates a Graver Issue than You Think?

Whether it’s a diploma mill, counterfeit products, or fake certificates that certify bogus businesses, the issue of certificate fraud is a grave one. These scams can cause a great deal of damage to organizations, employees, and the public. Enterprising cybercriminals are selling counterfeit digital certificates that allow hackers to disguise malware as legitimate software, according to a report from cybersecurity firm Recorded Future.

Certificate Fraud Is a Billion Dollar Industry! 

The problem of certificate fraud is a billion-dollar industry that is on the rise. Fake diplomas and certificates are easily available online for a few hundred dollars or less, allowing people to secure high-paying jobs or services in just minutes. This is a major issue because it can put the public at risk and put workers and employers at risk too. It is particularly a problem in the healthcare and construction industries.

During the Covid-19 pandemic, fake travel certificates, such as vaccination certificates or negative COVID-19 test results, had become rampant. Such practices not only put public health at risk by allowing people who may be infected with the virus to travel freely but also lead to legal consequences, including fines or even imprisonment if caught.

A New Technology of TRUST at the Rescue 

In many end-use industries, such as finance, healthcare, and education, certificate fraud is a serious concern as it can lead to poor customer service, lost trust, and increased liability for organizations. Organizations can prevent certificate fraud by using blockchain. This distributed database helps you build a trust Infrastructure that helps you to issue verifiable documents.

For example, in May 2021, the government of Maharashtra partnered with Print2Block, a blockchain technology startup, to issue COVID-19 test certificates. The state government issued certificates to the people who tested negative for COVID-19. Certificates from DocChain are digitized, tagged, and traceable, which means they can be scanned by anyone through the blockchain to verify authenticity. DocChain is also being adopted by some well-respected financial and educational institutions across, U.S., India, and UAE to help fight certificate fraud. Aside from the financial sectors, DocChain is revolutionizing healthcare, record-keeping, smart contracts, and supply chains. 

What is the Role of Blockchain in Addressing Certificate Fraud? 

The basic idea with blockchain is to create a decentralized and transparent database of information that can be shared by everyone on the network, without intermediaries. This will help consumers make better choices, hold companies accountable and drive greater adoption of the technology.

Blockchain is a Distributed Ledger. A distributed ledger is a database that records information across multiple computers. This ensures that the database is accurate since a single computer can’t make changes to the data. Instead, all the computers in the network view the same information and verify it by using consensus mechanisms.

Blockchain uses cryptography to secure data. It does so by generating a hash function that turns regular data into a short alphanumeric code. This code is then used to create a digital signature, which is used to verify that the information was not altered by anyone else. This makes it a very secure form of record-keeping since a person cannot change the data without the other participants knowing about it. This makes it perfect for storing important medical records, and financial documents, and it can also be used to store other types of data, such as contracts.

Another important part of a blockchain is that it’s immutable. Its immutability allows users to trust that the data in the ledger is accurate, which will help businesses avoid scams and fraud. It also reduces the cost of transactions, as there are no intermediaries or central authorities to rely on. This makes it a great option for businesses that need to move large amounts of money quickly. Aside from cryptocurrencies, the blockchain can also be used to track other types of data, such as food products. The technology can track the source of a contamination outbreak, which is very helpful when it comes to health and safety.

Why are Well-respected Institutions Relying on Blockchain to Address Certificate Fraud?

Blockchain is a hugely popular technology that has many potential applications. It has the ability to revolutionize several industries, and its impact will continue to grow in the coming years. This technology is gaining traction across a wide variety of industries including energy, logistics, education, and many more. It allows for real-time information sharing and verification. It can incorporate a broad swath of documents, including loans, land titles, and logistics manifests.

  • It is Secure

Blockchain offers a high level of security due to its inherently decentralized nature. This means that it’s very difficult to tamper with the database. This type of technology is also extremely useful in the supply chain industry, as it allows businesses to track products from start to finish.

  • It is Fast

Banks, stock trading firms, and other financial institutions are always in the market for ways to improve their business processes. One of the quickest ways to reduce cost and time is to use a secure, transparent ledger like blockchain. It is also a great way to reduce the risk of fraud and create trust among all participants.

Unlike most centrally operated systems, blockchain is constantly working. A transaction recorded on a single block is visible to all the computers that make up the chain. Changes made to this information are automatically verified and reflected by the other blocks on the chain. This makes it very difficult for anyone to change the information without affecting all the other nodes on the network.

  • It is Highly Scalable 

Another great feature of blockchain is its scalability. It can be scaled up to handle massive amounts of data, without the need for expensive infrastructure upgrades. This means that companies can process transactions far more quickly than they can with traditional methods, saving them time and money.

Conclusion

Counterfeit certificates in various industries have more than often posed a significant problem for the reputation, reliability, and trust in certification worldwide. Such certificates mislead users and can lead to a loss of confidence and business. It can also promote unfair competition or facilitate the traffic of counterfeit goods and services.

DocChain is at the forefront when it comes to minimizing vulnerabilities and managing the risk of counterfeiting through blockchain. It focuses on providing a reliable tool to verify the validity of certificates and offers a permanent and tamper-proof infrastructure of trust.