Buying items online used to be a real pain in the neck for shoppers in South Korea,... required to install various security programs and use a public certificate system.
To make the process simpler and hopefully reduce our stress levels,... banking authorities have launched new private certificates using the latest in financial technology,... namely blockchain.
Han-Soo-ah reports.
Online shoppers in Korea will be able to pay for their purchases more easily and quickly than ever before.
The Korean Federation of Banks last week launched a new private authentication certificate called "Bank-Sign," based on blockchain technology,... a decentralized way to secure transactions.
And more than a dozen banks have already adopted it.

"Banking certificates are usually a lot of hassle, but this mobile application, which uses a blockchain-based certificate, allows customers to make online transactions without going through the central verification institution. It's much faster, and more convenient."

The old system of digital public certificates made users install lots of software and even switch browsers... just to log in to the bank.
You'd even have to close your browser and start the transaction over again.
Needless to say it got a lot of complaints.
For instance, in 2013, ... when the Korean drama "My Love from the Star" became popular, Chinese shoppers tried to buy a coat worn by the main character... but gave up.
Laws were changed in 2015 so that online outlets don't have to use the public certificates, but many vendors have stuck with old habits.
Despite the promise of the new blockchain-based system, some experts say it still needs more work to fully replace the old one.

"Technically, using blockchain-based certification, the transaction procedures became more simpler as all banks share database. However, some improvements are needed as users still need to download the digital certificate on the smartphone."

Eventually, for the country to make further progress in 'fintech', industry insiders say the government needs to give them more leeway.

"Not only for the developments of technologies in the field of certification but also for the general financial sector, further liberalization of the related regulations and the additional government supports are needed."

In the meantime, the banking sector will continue to introduce various technologies related to the fourth industrial revolution, like big data and artificial intelligence, into financial transactions.
HAN Soo-ah, Arirang News.