Telecom and online fraud has become one of the most damaging forms of financial crime worldwide, causing significant financial losses and putting growing pressure on financial institutions’ risk management systems. As fraud and money laundering tactics continue to evolve, banks need faster and more reliable ways to identify suspicious activities across institutions.
Across the financial sector, however, data collaboration is often constrained by privacy, security, and compliance requirements. Individual banks usually have only a partial view of risk signals, while cross-institutional data requests may involve sensitive customer information. This makes it difficult to securely integrate and apply financial risk data across organizations and regions, creating information gaps that can be exploited by criminal activities.
To address this challenge, the Chengdu Branch of the People’s Bank of China, with Hyperchain Technology as the technical provider, worked with more than 20 banking institutions in Sichuan Province to build a Risk Information Sharing Alliance.
Powered by blockchain and privacy-preserving computing, the alliance enables participating banks, public security authorities, procuratorates, and courts to collaborate on risk information without exposing raw data. Following the principle of “data is usable but not visible,” the platform supports secure risk analysis for anti-fraud and anti-money laundering investigations, credit review, loan management, and other financial risk control scenarios.
The alliance also follows the principle of data minimization: only information directly relevant to risk-related business needs is shared. This helps prevent excessive data exposure while enabling timely risk information exchange across institutions.
By enabling secure, compliant, and privacy-preserving data collaboration, the project strengthens cross-institutional risk detection and supports a safer digital financial environment.
