News that Facebook plans to introduce a crypto currency has put banking regulators worldwide on red alert. On the face of it the move by tech giants into financial services is good for customers. Transaction times should be faster and service charges lower, a particular advantage in developing economies. On the downside, their track record on data protection and digital privacy is pretty poor. As a result, there is growing customer concern about how personal information is used. Undaunted, Facebook says Libra’s goal is to set the standard for global digital identities. Banks are therefore bracing themselves for further regulation that demands improvements to data privacy protection across the industry. A tried and tested way for financial services providers to demonstrate they take customer privacy seriously is to use encryption-based tools like virtual private networks (VPNs) to protect personal data at all stages of the communications process.
Read more in our blog VPN Haus.