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You are here: Home / Bitcoin Industry News / UN: Experiment With Pension Funds Proves Blockchain as ‘Ultimate’ Identity Tech

September 26, 2025

UN: Experiment With Pension Funds Proves Blockchain as ‘Ultimate’ Identity Tech

The United Nations leaned into blockchain technology to overhaul its own pension system, and a study of that process concluded the innovation is the “ultimate technology for digital identity verification,” which has spurred the UN toward extending the system and sharing it with other international groups.

The UN — which has explored various blockchain uses over the years — tried it out on their United Nations Joint Staff Pension Fund (UNJSPF), according to a white paper released this week that suggested its use in confirming people’s identities can help in security, efficiency and transparency. In cooperation with the Hyperledger Foundation, the UN sought to “improve and secure the UN pension process globally by putting a blockchain-supported digital identification infrastructure into production.”

The UN pension fund had been working off of a 70-year-old system to identify beneficiaries in 190 countries, relying on a paper-based approach to prove more than 70,000 beneficiaries were who they said they were, still alive and where they claimed to be. It was prone to error and abuse, and resulted in about 1,400 payment suspensions every year, according to the document. So the organization shifted to the blockchain-powered digital certification, beginning with a 2020 pilot program and a 2021 implementation.

“The shift away from physical documentation has substantially reduced processing times previously spent on receiving, opening, scanning, and archiving paper documents,” the paper said.

The blockchain helped eliminate the single-point-of-failure problem posed by a centrally managed approach, according to the paper that detailed the process and results, with the authors suggesting its success could be repeated elsewhere. Its open access and usability by multiple entities reduces the repetitious need for identity checks, the authors found.

The UN is exploring spreading similar technology throughout its own system and sharing it elsewhere as a “digital public good,” seeking to expand the Digital Certificate of Entitlement approach to other international organizations.

“The project has provided not only a technical prototype but also an operational model for how organizations across the UN family can collaborate to design secure, scalable, and inclusive digital public infrastructure,” wrote Sameer Chauhan, the director of the United Nations International Computing Centre, in a conclusion included in the paper.

Author: Jesse Hamilton

Filed Under: Bitcoin Industry News

Expert Witness

Ty Sagalow head shotTy Sagalow's unique background in legal, underwriting, policy drafting and claims – and his designation as a “qualified insurance expert” by the United States District Court for the Southern District of California – offers attorneys an unparalleled resource in D&O, E&O and Cyber insurance coverage disputes. He was also named "Most Helpful Expert" in a recent $8.7M coverage decision.

Mr. Sagalow served as Chief Underwriting Officer and General Counsel for AIG Executive Liability (formerly National Union Fire Insurance Company of Pittsburgh, PA), the world’s largest carrier of Directors and Officers Liability and Professional Liability Insurance. As General Counsel, Mr. Sagalow personally wrote or led teams that wrote all the D&O policies and many of the professional liability policies that AIG produced between 1988 and 2000 – policies which continue to serve as the foundational wording for the D&O and professional liability policies in the market today. As AIG Executive Liability’s Chief Underwriting Officer, Mr. Sagalow was charged with all underwriting interpretations and decisions for AIG D&O/E&O policies. In 2009, Mr. Sagalow headed up the team that rewrote all D&O policies for Zurich North America.

Ty is a cum laude graduate of Georgetown University Law Center and holds a LLM from New York University School of Law.

Bitcoin Insurance

Combining his talents as a network security insurance expert and an insurance product development expert, Ty Sagalow is the leading expert on the unique risk and insurance needs of the bitcoin industry.

With the successful sale of BitSecure(tm), the first bitcoin theft insurance policy in February of 2015, he is the first to create a sustainable, robust insurance policy to cover the theft of bitcoins and other virtual currency backed by an A-Rated, global “top 10” Property and Casualty insurance company.

Company Profile

Innovation Insurance Group is an insurance consulting firm and insurance brokerage founded by 30-year insurance executive, Ty R. Sagalow, former Chief Underwriting Officer, General Counsel and Chief Innovation Officer at AIG, and former Chief Innovation Officer at Zurich, NA and Tower Group. IIG focuses on three core practice groups: product development, expert witness services (primarily in the Management and Professional Liability areas), and bitcoin industry brokerage services.

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