Tuesday, July 5, 2016
Blockchain technology in finance.
Blockchain is a cryptographically enabled database technology that can make many transactions free of counterparty risks and nearly instantaneous, eliminating transaction costs. It was created and tested with bitcoin, a cryptocurrency. The financial industry is interested in it, given its scale and need for reliability and speed.
- Blockchain use could expand beyond cryptocurrencies, with the financial industry leading it towards real-life applications.
- As the blockchain technology could be disruptive, banks are attempting to influence and direct its development early on.
- Corporate strategists will be the predominant investors in blockchain start-ups rather than traditional venture capital.