A multisector consortium of Spanish companies including Banco Santander has created the Red Lyra, the first multisector technology platform in the world based on blockchain or distributed ledger technologies. Lyra will develop new systems and services so that any individual or company in Spain, for instance, can identify itself digitally in a secure manner.
Red Lyra is expected to be operational in the next few months. The goal is for any company to be able to use the network to validate basic services and to develop applications in a transversal environment with full legal guarantees in Spain.
Its founding members are Banco Sabadell, Bankia, BBVA, BME, Caja Rural, Cajamar, Cepsa, Correos, Ejaso, Endesa, Everis, Garrigues, Gas Natural Fenosa, Grant Thornton, Iberdrola, Icade, MásMóvil, Momopocket, Notarnet, Roca Junyent and Scytl. Any company, administration, start-up, freelance professional or other not-for-profit entity can join at any time to develop projects and to provide services.
One of the network’s main priorities will be to create a digital identity system based on smart contracts. This system will make it possible to save all of the elements needed to identify people and companies in a secure manner, as well as to operate and to apply digital signatures legally. Spanish notaries will be able to certify and validate the digital identity in Lyra matches a real identity, and they will even make it possible to recover the identity if necessary.
In addition to the mechanism of legal guarantee, Lyra provides greater security through partners who act as ‘nodes’, i.e. users who validate the activity, assuring that it is always solid and reliable.
“Partners admitted subsequently can also have access to a node, which will add more details to a user’s identity,” Red Lyra director Alex Puig said. “For example, in addition to my customer file, there may be a factual and exhaustive log of my transactions with all the companies in the network.”
A transversal network which is helpful for everyone
Identifying natural persons and legal entities in Red Lyra eliminates many enterprise processes, such as the arrival of new customers to a bank or an electricity company, but it also facilitates common transactions, for instance, between public sector agencies and citizens.
“The project is inclusive and democratic because the members of the network are the ones who decide its future and ensure that no single member has full control. It is a consortium, a collaborative network, helpful for everyone,” Mr. Puig said.”Lyra is set up as a semi-public and authorised network for blockchain technology in Spain and is a global pioneer, as no project has existed previously where so many companies collaborate to design such an ambitious digital work space.”
Lyra is a shared network for developing projects and providing services which has all the required identification guarantees and will also comply with current legislation on data protection.
“All of the partners and users act in ‘coopetition’, i.e. they cooperate with each other but they also compete, using the network with the assurance that they will never be able to control it without the approval of all participants,” Mr. Puig explained.
A nonpartisan and not-for-profit network
The promoting partners who are behind the start of the project and who will be steadily joined by more entities created a not-for-profit association to technologically develop and to maintain the Lyra Network. It will be funded through contributions from the partners and users, satisfying its nature as a public good.
“This model will enable the platform to maintain its independence and neutrality perpetually, to guarantee the identification of actors and partners and the provision of the services that any of them wishes to develop on Lyra,” Mr Puig added.
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