ToneTag has enhanced the security of its contactless payments with blockchain technology.
ToneTag enables sound wave based contactless payments that are traceable, transparent, and secure. While paying through ToneTag, customers can identify whether the merchant outlet is exposed to risks or if it has witnessed fraudulent transactions in the past. Similarly, merchants can ensure whether a customer is genuine or not. Furthermore, all transactions are validated to ensure they are authorized.
Blockchain creates a distributed public ledger that records all transactions in a particular system. The blocks record some or all of the current transactions and once it is completed the block is timestamped and hashed into the permanent database or blockchain. The blocks are linked to each other in a linear, chronological order where each new block contains the hashed details of the previous block.
ToneTag payments itself are tokenized where a unique identifier replaces sensitive transaction information and none of the actual customer or merchant transaction information are revealed or shared hence making the entire process highly secure and fraud proof.
There are no centralized databases in a blockchain. Complete or partial blockchains are stored in nodes where the database is constantly updated.