A new agreement will give HSBC Bank Australia access to financial communications technology innovator Identitii’s Overlay+ platform, a peer-to-peer solution that enables the secure sharing of data and documents between authorized parties and to regulators.
Overlay+ leverages blockchain technology and tokenization to make financial communications easier and more secure. A private blockchain ensures an auditable, time-stamped, tamper-proof record of all activity, and uses permissioned communications to allow trusted parties to securely share intelligent information in real-time. The platform uses unique identifiers, known as Identitii Tokens, which serve as cryptographic keys to permission access to the blockchain.
Importantly, the technology, dubbed a “platform for intelligent information exchange” by the company, can be added to a bank’s or corporation’s existing technology infrastructure via API to support both internal and external document and information exchange.
“This is our second technology license with HSBC and it delivers on a key part of our growth strategy, which is deepening relationships with existing customers,” Identitii CEO Nick Armstrong said. “It also represents the commercialization of a new use case for Overlay+, which seamlessly integrates with existing systems to ensure compliance with regulatory reporting requirements.”
The five-year pact has a minimum contract value of $511,600. Identitii’s revenues will come from both professional service fees incurred during technology implementation (slated to be finished in Q2 2020), as well as ongoing monthly license fees.
Identitii’s HSBC/Overlay+ announcement comes just a few months after the company announced that HSBC had launched its digital accounts receivable tool, DART, leveraging tokenization technology from Identitii. The company teamed up with Trace Financial Limited in April to help companies migrate to new messaging standards for financial business transactions. Identitii began the year with a new membership in the Banking Industry Architecture Network (BAIN), ensuring its Overlay+ platform is compatible with open banking standards.
Identitii demonstrated its platform at FinovateFall 2017. Founded in 2014 and headquartered in New South Wales, Australia, Identitii won an award for Best Workplace Diversity at The Finnies 2019 earlier this year. The company went public last fall, and currently trades under the ticker ID8 on the Australian Stock Exchange. Identitii has a market capitalization of $10 million.