Topic: Why Banks on blockchain? - page 10. (Read 24915 times)
We always have to be smart in our daily doings and always been part of the good team is a key note for everybody, that is why with blockchain we say, we are safe and it will not be surprise to see organization building on such a platform. If bank could trust and use then is a plus. Blockchain all the way.
With Blockchain, we no longer need to rely on one server because all transactions are replicated to the entire network so that they avoid various forms of fraud because of modified data, server down, or hacked accounts.
blckchain is a future security technology, transparency and other advantages is the reason banks adopt this system.
blckchain is a future security technology, transparency and other advantages is the reason banks adopt this system.
We have a saying, "If you can't beat them, join them!". Lol. Kidding aside, blokchain projects are really helpful. The banks and other institutions saw the greatness of blockchain. They wanted to adapt it so that it will make their transactions faster and cheaper. Aside from that, it is really very convenient to use. Blockchain has a great potential in the future.
The banks are aware that blockchain is the way forward the earlier they key in the better for then and their jobs. Blockchain has a lot of advantage over normal ledger the banks are using because bitcoin is decentralized and the record are immutable and it is not with a particular person control.
The potential is very big in the field of transactions, basically the Blockchain will change the way of managing transactions (more efficient, faster, more secure and much cheaper!).. Today banks manage all transactions centrally but the disadvantage of a centralized system is that it requires heavy infrastructure and processes, controls at all levels so a big cost to maintain.
Now imagine that we reverse the model and that all these process of validation and storage of transactions are done automatically by the network itself. In the case of a payment, you'll initiate the transaction (via any channel such as payment card, web, smartphone) and at the time of the issuance of the payment request, all members of the payment network (we can imagine individuals, businesses, shops etc. through their devices or their representatives or third parties in a Cloud) will be responsible for verifying your transaction with the same controls as today, automated in the Blockchain algorithm... When your payment gets validated by consensus in the network, it will be added as a new block in this Blockchain from which each node in the network would receive a copy of the complete update.
The role of the banks will no longer be to process the transaction by authorizing, validating it... and registering it in a database, it will be to develop and maintain a secure Blockchain algorithm that allows the whole network to operate over the whole transaction chain. That's why the potential is huge for banks.
Now imagine that we reverse the model and that all these process of validation and storage of transactions are done automatically by the network itself. In the case of a payment, you'll initiate the transaction (via any channel such as payment card, web, smartphone) and at the time of the issuance of the payment request, all members of the payment network (we can imagine individuals, businesses, shops etc. through their devices or their representatives or third parties in a Cloud) will be responsible for verifying your transaction with the same controls as today, automated in the Blockchain algorithm... When your payment gets validated by consensus in the network, it will be added as a new block in this Blockchain from which each node in the network would receive a copy of the complete update.
The role of the banks will no longer be to process the transaction by authorizing, validating it... and registering it in a database, it will be to develop and maintain a secure Blockchain algorithm that allows the whole network to operate over the whole transaction chain. That's why the potential is huge for banks.
This has already been talked about a number of times before, but yeah. In a nutshell, it has the potential to streamline processes and lower overhead. Banks and blockchain technology aren't incompatible just because the crypto community is hostile towards banks. Here's a good read on the subject:
https://hackernoon.com/blockchain-technology-for-banks-trends-and-perspectives-895a854e1344
Nothing is set in stone yet though, and it's going to be a while before we see these applications in action.
Edit: words
https://hackernoon.com/blockchain-technology-for-banks-trends-and-perspectives-895a854e1344
Nothing is set in stone yet though, and it's going to be a while before we see these applications in action.
Edit: words
https://cointelegraph.com/news/singapore-central-bank-partners-with-deloitte-nasdaq-on-blockchain-asset-settlement/amp
http://news.abs-cbn.com/business/05/21/18/unionbank-to-link-rural-banks-using-blockchain
What is the possible reasons why banks adopt of joining blockchain? Please share your opinions . Is it really helps rural banks and small banks to be more productive and efficient? Is it faster and easier in terms of financial transactions to the mass market and brings down the cost of service?
http://news.abs-cbn.com/business/05/21/18/unionbank-to-link-rural-banks-using-blockchain
What is the possible reasons why banks adopt of joining blockchain? Please share your opinions . Is it really helps rural banks and small banks to be more productive and efficient? Is it faster and easier in terms of financial transactions to the mass market and brings down the cost of service?
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