How Blockchain Is Used to Ensure Credential Security and Verification

When sharing and showcasing credentials such as degrees, certificates, and licenses, there is nothing more important than integrity and authenticity. For individuals, knowing their credentials are verifiable provides more credibility to their educational background. For institutions, an authentic credential is part of their reputation, and ensuring they can’t be tampered with is an extra layer of security. 

Traditional methods of verifying credentials often rely on centralised institutions, introducing vulnerabilities, delays, and inefficiencies into the process. Enter blockchain technology, a groundbreaking innovation that has disrupted industries far beyond its cryptocurrency origins. Blockchain has also revolutionised the way we validate and secure credentials. 

In this article, we will discuss how blockchain technology works, how it has been used for credentials, and how it makes the verification process easier and more reliable. Keep reading to learn more. 

What is blockchain?

Blockchain is a decentralised and distributed digital ledger technology that underlies cryptocurrencies like Bitcoin and has numerous applications beyond digital currencies. 

Unlike traditional centralised systems (e.g., banks or centralised databases), blockchain operates on a decentralised network of computers, often referred to as nodes. Each node has a copy of the entire blockchain, ensuring that no single entity or authority has control over the entire system. This decentralisation enhances security and trust by eliminating a single point of failure.

In a blockchain, data is grouped into blocks. Each block typically contains a set of transactions, and it also includes a reference (a cryptographic hash) to the previous block in the chain. This linkage forms the “chain” in the blockchain.

Blockchain relies on advanced cryptographic techniques to ensure the integrity and security of data. Once a block is added to the chain, altering any information in a previous block would require changing the data in all subsequent blocks, which is computationally infeasible due to the decentralised and distributed nature of the network.

Transactions on a blockchain are transparent and can be viewed by anyone on the network. Once a transaction is confirmed and a block is added, it becomes virtually immutable. This immutability makes blockchain suitable for applications where trust and transparency are critical.

How is blockchain used for certificates and credentials?

Blockchain technology can be used to issue, verify, and manage certificates in a secure, tamper-proof, and transparent manner. 

Educational Institutions, Certification Bodies, or any entity that issues certificates can use blockchain to create digital certificates. The certificate issuer records the certificate information on the blockchain, including details such as the recipient’s name, the type of certification (e.g., diploma, degree, professional certification), and the date of issuance.

To ensure the authenticity of the certificate, the issuer typically signs it with a digital signature. This signature is generated using cryptographic techniques and is unique to the issuer. It serves as proof that a legitimate institution or organisation has issued the certificate.

The certificate information, including the digital signature, is converted into a fixed-length string of characters (a hash) and stored as a transaction or record on the blockchain. Each certificate’s hash is linked to the previous certificate or block, creating a chronological chain of certificates.

Anyone can access the blockchain and verify the authenticity of a certificate by comparing the digital signature with the one recorded on the blockchain. This transparency allows employers, educational institutions, or other parties to independently confirm the validity of a certificate without relying on a centralised authority.

Once a certificate is recorded on the blockchain, it becomes virtually immutable. It cannot be altered or deleted without the consensus of the network participants. This immutability ensures that certificates remain tamper-proof and trustworthy over time.

Using blockchain for certificates enhances security, trust, and transparency in the certification process. It simplifies the verification process and reduces the risk of certificate fraud, benefiting both certificate issuers and recipients. Additionally, it can streamline the management of large-scale certification programs and reduce administrative burdens.

The benefits of blockchain for credentials

Using blockchain for certificates and diplomas offers several significant benefits, which are revolutionising the way academic and professional credentials are issued, verified, and managed.

Blockchain offers a transformative solution for the issuance, verification, and management of certificates and diplomas. Its core features of immutability, security, transparency, and efficiency provide numerous benefits that empower both institutions and individuals to navigate the credentialing landscape with confidence and trust.

Immutable records

Once certificates and diplomas are recorded on a blockchain, they become virtually tamper-proof. The data is stored in a decentralised and distributed ledger, making it extremely difficult for anyone to alter or delete records without consensus from the network. This ensures the long-term integrity of credentials.

Enhanced security

Blockchain employs advanced cryptographic techniques to secure data. Certificates are signed digitally, ensuring that only authorised parties can issue or verify them. This high level of security reduces the risk of forgery and fraud.

Transparency

Blockchain is inherently transparent. Anyone can access the blockchain and view the entire history of credentials, including issuance and verification. This transparency builds trust among stakeholders, such as employers, educational institutions, and certificate holders.

Instant verification

With blockchain, the verification process is streamlined. Instead of contacting institutions or relying on third-party verification services, employers and other interested parties can independently and instantly verify the authenticity of a certificate or diploma by checking the blockchain.

Reduced costs and time savings

Traditional methods of issuing and verifying credentials involve paperwork, administrative overhead, and delays. Blockchain eliminates these inefficiencies, reducing costs and saving time for both certificate issuers and verifiers.

Ownership and portability

Certificate holders have full ownership of their digital credentials. They can easily access and share their certificates with prospective employers, educational institutions, or other relevant parties, enhancing their mobility and employability.

Minimised credential fraud

Blockchain’s security features make it exceptionally resistant to credential fraud, including the creation of fake diplomas or certificates. This helps maintain the integrity of educational and professional systems.

Global recognition

Blockchain-based credentials are not bound by geographical limitations. They can be easily recognised and verified across borders, facilitating international mobility for students and professionals.

Efficient record-keeping

Educational institutions and certification bodies can use blockchain to efficiently manage and store records. This reduces administrative burdens, minimises the risk of data loss, and ensures that records are easily accessible when needed.

Privacy control

Blockchain networks can be designed to protect the privacy of certificate holders. While the information is transparent and tamper-proof, personal data can be encrypted or obfuscated, allowing for privacy compliance.

How does blockchain ensure credential security?

Blockchain is often considered tamper-proof due to its underlying principles and design features that make it extremely resistant to unauthorised changes or alterations. Several key factors contribute to its tamper-proof nature:

Decentralisation

Blockchains are typically maintained by a decentralised network of nodes (computers) distributed across the globe. These nodes work together to validate and record transactions and create new blocks. No single entity or authority has complete control over the entire blockchain network, making it difficult for a malicious actor to tamper with the data on a large scale.

Consensus mechanisms

Blockchains use consensus mechanisms, such as Proof of Work (PoW), Proof of Authority (PoA) or Proof of Stake (PoS), to validate and add new blocks to the chain. In PoW, for example, miners must compete to solve complex mathematical puzzles to add a new block. This competition ensures that any attempt to alter a block or transaction requires a significant amount of computational power, making it economically infeasible for malicious actors.

Cryptography

Cryptographic techniques are a fundamental component of blockchain security. Each block contains a cryptographic hash of the previous block, creating a chain that links all the blocks together. Changing the data in one block would require recalculating the hash for that block and all subsequent blocks, which is computationally infeasible. Additionally, digital signatures are used to verify the authenticity of transactions and block data.

Immutability

Once data is recorded on the blockchain and confirmed by the network, it becomes virtually immutable. This means that past transactions and records cannot be altered without the consensus of the majority of nodes on the network. The longer a transaction or record exists on the blockchain, the more secure and tamper-proof it becomes.

Transparency

Blockchains are typically public or transparent, allowing anyone to view the entire transaction history and the current state of the ledger. This transparency makes it easy to detect any discrepancies or tampering attempts, as they would be visible to all participants on the network.

Distribution

Copies of the blockchain ledger are maintained on multiple nodes across the network. If one node’s data is compromised or tampered with, it can be cross-referenced with the data on other nodes to identify and correct the issue. This redundancy adds an additional layer of security.

Incentives

In many blockchain networks, participants have economic incentives to act honestly and maintain the integrity of the system. For example, miners in PoW networks earn rewards for contributing computational power to secure the network. Attempting to tamper with the blockchain would risk losing these incentives.

How to check the validity of a credential using the blockchain?

To check the validity of a certificate through the blockchain, individuals or organisations can follow these steps:

Access the blockchain explorer

Use a blockchain explorer or a dedicated certificate verification service provided by the issuing institution or organisation. A blockchain explorer is a web-based tool that allows users to view transactions and data on a blockchain.

Locate the certificate record

Enter the unique identifier or the transaction hash associated with the certificate you want to verify. This information is typically provided along with the certificate or can be obtained from the certificate holder.

Retrieve the certificate data

Once you submit the unique identifier or transaction hash, the blockchain explorer will retrieve the corresponding certificate data from the blockchain.

Verify the digital signature

The certificate data retrieved from the blockchain should include the digital signature of the issuer. Compare this digital signature with the one provided on the certificate itself or by the issuing institution.

Check timestamp and chain of trust

Verify that the certificate data is associated with a valid timestamp and is part of a continuous chain of certificates on the blockchain. Each certificate should link to the previous one, creating a chronological chain.

Review additional details

Some blockchain-based certificate verification systems may provide additional information about the certificate, such as the name of the issuer, the type of certification, and the date of issuance.

Confirm the certificate’s authenticity

If all the information, including the digital signature, timestamp, and chain of trust, aligns with the certificate you are trying to verify, then the certificate is considered authentic and valid.

Cross-check with the issuing institution

If there is any doubt or if the certificate issuer offers additional verification methods, you can contact the issuing institution or organisation directly to verify the certificate’s authenticity.

Consider privacy and data protection

Keep in mind that while blockchain provides transparency and security, it also raises privacy concerns. Personal information on the certificate should be appropriately protected and may be encrypted or obfuscated on the blockchain.

Document the verification

It’s a good practice to document the verification process, especially for important or high-stakes certificates. This documentation can serve as proof of the certificate’s authenticity if needed in the future.

Final thoughts

Blockchain technology has transformed education by providing a way to check and validate credentials such as certificates and diplomas. By eliminating the need for intermediaries, reducing fraud risks, and streamlining verification processes, blockchain has not only empowered individuals to take control of their credentials but has also provided institutions and organisations with a more efficient and trustworthy means of verifying these vital records.

The significance of reliable credential verification cannot be overstated. Whether it’s for educational degrees, professional certifications, licenses, or any other form of accreditation, blockchain’s promise of security, transparency, and accessibility offers individuals and organizations more possibilities to share and showcase achievements.

Book a demo with us to see first-hand how you can leverage blockchain to make your credentials more reliable.