If companies start to use of blockchain technology how we can balance DSR without impact of trust and compliance
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Blockchain is built to be permanent and tamper-proof. But Data Subject Rights (DSRs) — like the right to be forgotten, corrected, or restrict processing — require flexibility. Sounds like a clash, right?
The trick is not to fight the nature of blockchain, but to work around it smartly.
Here’s how companies can balance DSRs without compromising on trust or compliance:
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Store personal data off-chain
Use blockchain only for hashes, pointers, or IDs. Keep actual personal data in a regular database where it can be deleted or edited easily. -
Use encryption + key destruction
If personal data must go on-chain, encrypt it. Then if someone wants their data “deleted,” just destroy the decryption key — the data becomes unreadable. -
Smart contracts = smart privacy
You can automate consent logging and off-chain actions like deletion or updates via smart contracts. This adds transparency and auditability. -
Design with privacy in mind
Only collect what's needed, pseudonymize where possible, and be transparent about what's on-chain vs off-chain. -
Tell users the truth
Explain what rights you can support fully, and what technical limits exist. Honesty builds more trust than pretending you’re perfectly compliant.
Bottom line: Blockchain isn’t anti-privacy — but it needs creative privacy engineering. Combine the strengths of both worlds, and you can build systems that are both compliant and trustworthy.
To have more understanding on Blockchain & Privacy. Read our understanding on
1. Blockchain V. Privacy Laws
2. Balancing Data Subject Rights in the Age of Blockchain
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