CFP Board encrypting digital certificates with blockchain technology
Encryption using blockchain technology coming later this year.
The Certified Financial Planner Board of Standards Inc. will roll out digital certificates later this year that use blockchain technology to verify financial advisers, according to a newsletter from the group.
According to the note from Kevin R. Keller, chief executive officer of the CFP Board, the board is working with a firm to provide bank-level encryption and blockchain logging for digital CFP certificates. The organization wants to make it impossible to fake a digital CFP certificate.
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The digital certificates can be shared in email signatures and embedded into websites. They also have a one-click sharing feature that allows advisers to share their credential on social media.
The CFP Board works to increase the public’s awareness of the value of working with CFP professionals, but Bill Winterberg, president and founder of FPPad.com, said adding blockchain adds little to the verification process.
“I don’t think it solves a problem,” Mr. Winterberg said. “It’s easy for the general public to do a CFP search. It’s not hard, it’s not hidden, it’s not obfuscated, so I don’t see how blockchain makes it easier.”
Clients who want to verify a CFP professional can use the “Verify a CFP Professional” database on the CFP Board website.
Mr. Winterberg would prefer the board invest in other avenues to raise awareness of the credential.
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