It’s taken 10 whole years for blockchain technology to take over the internet and even banking!
Even though blockchain technology was invented in 2008, the biggest key to turning blockchain’s potential into a reality for banks today is the amount of collaborative effort needed to create a network to support global banking services. Harvard Business Review claims that blockchain will do to banks what the internet did to media. And 60% of financial organizations plan on using blockchain for international money transfers, 23% for security clearing and settlement, and 20% for Know Your Customer (KYC) regulations and anti-money laundering services.
Millennials, on the other hand, today are transforming the way banking is done. In a world where all other industries have started to serve their millennials at the speed and scale to keep them engaged, this puts a huge pressure on banks to innovate in such a way that millennials witness personalized banking experiences intuitively at the speed of light.
Blockchain as a platform – Delivering Trusted Services to Millennials
Over the last ten years, platforms have successfully emerged and are now dominating all industries — prime examples being Airbnb, Amazon, Netflix and Google. Platforms give ultimate control connecting buyers and sellers to create economies of scale on both the demand and supply side.
Blockchain has proven effective in solving many problems associated with centralization; the canonical example being Bitcoin. Over the last couple of years, a range of distributed ledgers have emerged with similar missions — to use the benefits of peer-to-peer networks and techniques of decentralization to provide a system that can be trusted — 100%. With these applications, there are cases where the technology is completely transparent for the end-user. For example, a blockchain built on top of existing digital services will add the element of trust to the whole process by enabling an audit trail.
We will be discussing more such use cases on the Millennial Banking Day where blockchain experts will speak about the opportunities at banks and how effective their digital banking services can be made to address the heart of the blockchain use case: future-proofing the power of a smart digital ecosystem. Watch here