Digital Proof Of Income: The Future That Is Already Here

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October 28, 2021 Business

Currently, the main proof of income is through payslips or bank statements. However, with the rise of online shopping and the need to verify your identity, you should be able to link your monthly statement to an account on a public blockchain. This would allow for access to financial products that require proof of income, such as becoming a guarantor for other people’s loans or credit cards. This could also be extended into allowing Artificial Intelligence apps access to certain services based on your rating or rating history.

Therefore, to provide proof of income, you would be able to sign digital documents with your key. This would replace bank statements or payslips as proof of income for any financial services that require it. In this article, we will go through how this works in detail so that you can understand how this will impact you.

What Is A Digital Signature?

A public key can receive funds, but cannot send them without a corresponding private key. A combination of the two keys is used to create an unforgeable signature for any document or message by using cryptography, signing data with your private key, and verifying it by using your public key. This means that your identity is verified every time you sign documents digitally with this system. With a payslip, you would enter your salary with a paystub generator and create a document with all of your information on it. This will be your statement that the payment was made with your private key, which is then sent to the company with your public key. The company can then verify that you did indeed sign the document with your private key by opening it with their private key. This is why it’s important to keep your private key secure and never share it with anyone.

How Do I Sign And Verify My Identity?

To sign a document, you will need to use a paystub generator with your key. It is then sent out with your public key, which can be verified by any third-party that has access to this paystub generator’s public key. Verification is fairly straightforward and just involves checking the “digital signature” on the pay stub to make sure it matches the paystub generator and using its public key to verify it.

How would your pay statement be stored?

A payslip is a document that tells you how much money you earned and where it was sent to. In the future, this would be stored on a blockchain with a timestamp, which proves when the payment was made, rather than relying on a document from your bank or previous employer. This will allow for easy access from any company that requires proof of income to approve services, such as loans or banking products. Also, this would be stored in a public and decentralized ledger, which means that you will not have to store this information on your computer or at your home. Instead, it will be stored by the blockchain, similar to how other cryptocurrencies work. There are 3 ways your proof of income can be stored on the blockchain:

The document is uploaded onto a public ledger where anyone can see it, but cannot edit or access it without your permission.

A hash of the document is generated and then encrypted with your key to protect against tampering, which would change the whole transaction history if any information was changed in the document. This method will allow for companies to verify that you have indeed signed this document without having to see its contents by using your public key and the public key of the person that originally uploaded it.

A hash is generated for the document and then sent directly from you to someone else over an encrypted connection such as a secure socket layer (SSL). Also, this can be sent through a company like PayPal because they already have their encrypted software to process payments securely. Because this would be sent over SSL it could only be received by the intended recipient and no one else would see any sort of information apart from who originally signed it.

What Are Some Benefits?

This technology provides many benefits for both you and your employer. Your employer will be able to have an accurate snapshot of your income on a ledger, as well as any past employment data that is possible to find on the blockchain. This allows them to base whether or not they should hire you based on real statistics, as opposed to making a decision based on what you say on your resume. Another benefit for employees is its convenience. Once this feature becomes mainstream, it will be available through most office-based software so that employers do not have to waste time compiling documents or sorting files to prove their employee’s income. Employees can simply sign important documents with one click from their phone, which means less time wasted at work and more time spent outside of work.

What Are The Downsides?

One of the biggest issues with this system is that it would not be accepted globally because there are so many different institutions around the world that have all created their methods for verifying identities using their uniqueness. Other companies may require you to upload a selfie holding your ID card with an overlay of your face on the ID card photo, which is another way they verify who you are before giving you access to financial services. This is one of the big hurdles that need to be overcome if we want mainstream adoption of blockchain technology and cryptocurrencies at a global scale.

Another of the main problems is that most companies are not ready to give up paper documentation of all their clients’ information, which means that the transition of moving everything onto the blockchain may take some time.

How Long Will It Take For This To Become Mainstream?

There are already some companies out there that are using this system on a trial basis and have had good results so far. This means that within the next few years, more of these types of documents will be issued by governments around the world, which would mean that you no longer have to provide banks with your social insurance number or passport photo when you want to apply for a loan or open an account on their website.

This is a very exciting time to be living in as more businesses and governments are starting to use this standardized way of verifying your identity on the blockchain. We may never be able to completely get rid of paper documentation, but in the future, you will be able to provide your digital identity verification on blockchains when applying for financial services or even signing contracts.