Investment Bank HSBC Holdings announced plans this week to move $20 billion in assets to blockchain technology.
According to Computerworld: “The London-based company, the seventh largest bank in the world, plans to move $20 billion in assets that include equity, debt and real estate onto its new Digital Vault blockchain, a shift away from its current use of paper records to respond to client search requests. …
By getting investors to interact with this data on the blockchain through decentralized applications (dApps) supported by friendly user interfaces, HSBC is helping build the on-ramps and infrastructure needed to take blockchain DLT mainstream, according to Avivah Litan, a Gartner vice president of research.”
Some experts see this HSBC development as a potential game-changer. However, others are not so sure. They point to the fact that State Street Bank just cut over 100 blockchain development positions.
Indeed, a report by McKinsey & Company from earlier this year proclaimed blockchain’s amazing potential to be a game-changer.
“One sign of blockchain’s perceived potential is the large investments being made. Venture-capital funding for blockchain startups reached $1 billion in 2017. IBM has invested more than $200 million in a blockchain-powered data-sharing solution for the Internet of Things, and Google has reportedly been working with blockchains since 2016. The financial industry spends around $1.7 billion annually on experimentation.”
Nevertheless, “despite billions of dollars of investment, and nearly as many headlines, evidence for a practical scalable use for blockchain is thin on the ground.”
This article from The Motley Fool describes the many benefits of blockchain technology and the companies who have blockchain patents. At the top of the list in 2018 was Bank of America.
Other Potential Industry Uses for Blockchain?
Beyond banking and finance, there has been plenty (Read more...)
*** This is a Security Bloggers Network syndicated blog from Lohrmann on Cybersecurity authored by Lohrmann on Cybersecurity. Read the original post at: https://www.govtech.com/blogs/lohrmann-on-cybersecurity/when-will-blockchain-technology-be-a-game-changer.html