KUALA LUMPUR (Dec 11): MyEG Services Bhd’s (KL:MYEG) Zetrix blockchain platform and Astron-Xinghuo BIF have partnered to offer Chinese nationals and business entities digital identification cards and business registration services for verification outside of China.

The services, known as ZID, digitises official Chinese national or business registration IDs as Web3 verifiable credentials (VCs) which enable real-time fraud-proof identity verification, according to the e-services provider’s statement.

“In the case of business registration IDs, each unique VC can be presented to any third party overseas — be it government or commercial entity or a private individual — who are then able to use the VC to verify the legitimacy and authenticity of the business in real time,” MyEG said.  

“Likewise, individual Chinese nationals can publish their national IDs as a VC that can then be accessed by verifying entities outside of China,” it added.

MyEG said Astron-Xinghuo BIF is the international chain of China’s national public permissioned blockchain under the Ministry of Industry and Information Technology.

MyEG managing director, co-founder and substantial shareholder Wong Thean Soon (better known as TS Wong) said digital IDs issued as VCs will usher in the next wave of innovation and introduce the first billion users to the Web3 ecosystem.

“With the endorsement and use by various government organisations, we expect digital IDs to be the killer application for Web3,” he added.

Zetrix, together with MyEG as a group, is a key partner in the provision of Malaysia’s national ID solutions.

In MyEG’s most recent financial results, the group posted a year-on-year jump in net profit for the third quarter to a record high, which was attributed to Web3 application service fees on the Zetrix platform and sales of its Zetrix token cryptocurrency.

Net profit for the third quarter ended Sept 30, 2024 (3QFY2024), soared 62.6% to RM195.05 million from RM120 million in the same quarter last year, as quarterly revenue grew nearly 28% to RM248.13 million versus RM194.12 million.

In post-3QFY2024 earnings notes in late November, analysts covering the counter expect contributions from Zetrix-related applications to grow as more services on the platform roll out.

Shares in MyEG ended half a sen or 0.53% higher at 94 sen, valuing the e-services provider at RM7.17 billion.