CryptoCoinsInfoClub.com

Blockchain Financial Use Cases

Blockchain In Financial Services

Blockchain In Financial Services

Set preferences for tailored content suggestions across the site Save content to reading lists (coming soon) Weve been reading about the promise of blockchain technology for several years now. Many skeptics are beginning to wonder if the year of blockchain will ever really arrive. Blockchain isnt a cure-all, but there are clearly many problems for which this technology is the ideal solution. We continue to see banks, brokerages, insurers, regulators, and others actively testing ways to harness the benefits of blockchain. The journey has only just begun. Are we there yet? We still occasionally hear clients ask, Does blockchain really matter? The uncertainty is understandable. In 2017, firms created plenty of functional, proof-of-concept projects using blockchain in applications such as internal payments, trade finance, and custody. Despite their potential, many of these projects arent yet ready for primetime. Still, leading firms are focusing their efforts in a few key areas where distributed ledger technology can solve practical issues. Exchanges embrace blockchain and regulators warm up. Weve seen several global securities exchanges launch blockchain-based platforms. Regulators are working with the exchanges to explore what oversight should look like. And most industry players still struggle with how to audit systems with almost-instant clearing and consensus-based verification. Together or alone? By definition, blockchains allow multiple parties to work together effectively, even if they dont fully trust each other. The most exciting opportunities come when the largest industry players unite with a common approach. While many financial firms have banded together in various efforts on blockchain initiatives, 2017 also saw some large players step away in favor of worki Continue reading >>

The Top 30 Financial Services Blockchain Use Cases (it's Not Just Bitcoin)

The Top 30 Financial Services Blockchain Use Cases (it's Not Just Bitcoin)

The Top 30 Financial Services Blockchain Use Cases (It's Not Just Bitcoin) Yes, Blockchain is the foundation for cryptocurrencies like Bitcoin and Ethereum. But the contributions blockchain can make toward improving process efficiencies and saving money are fueling multiple use cases throughout the rest of the Financial Services industry. Silicon Valley is coming. There are hundreds of startups with a lot of brains and money working on various alternatives to traditional banking. JPMorgan Chase CEO Jamie Dimon warned in his annual letter to shareholders. Blockchain enables disruptive innovation to traditional finance The transfer of value across-borders (whether goods or payments) has always been an expensive and slow process. Blockchain is able to speed up, simplify, and reduce the costs significantly. For example, if a person wants to transfer money from Canada to their family in Russia, who have an account with a local bank, it takes a number of banks and currencies before the money can be collected. Blockchain can speed up and simplify this process, cutting out many of the traditional middlemen. According to a Deloitte study, blockchain reduces the costs to 2-3% of the total amount and provides guaranteed, real-time transactions across borders. Similar dynamics are at work in loan and mortgage processing todayits a complex process with multiple stakeholders, inherent inefficiencies and frequent manual errors and delays. The process could be significantly simplified by incorporating smart contracts. For instance, smart contracts could automatically verify land ownership and interface with various stakeholders such as legal and tax departments. By eliminating silos, a blockchain solution would remove inefficiencies, reduce time and cost, and support better customer e Continue reading >>

What Are The Most Interesting Use Cases Of Blockchain For The Banking Industry?

What Are The Most Interesting Use Cases Of Blockchain For The Banking Industry?

I think permissioned blockchains where a suite of stakeholders track and compute their OTC deals will find large adoption. The digitization of financial instruments is currently hindered by: Incompatibility of internal legacy systems Ideally, permissioned blockchains tackle the last two by allowing: Easy auditing through a cryptographically verifiable chain of logs Tailoring instruments is a matter of writing code A shared ledger that is updated in realtime and high flexibility would make OTC deals scalable. Apparently there are overlaps of compatibility with other transactional systems like SWIFT ( Swift Payments CEO Doesn't See Block Chain Replacing Current 'Efficient' Banking Systems ): "private blockchains are far more of a threat". In this light, projects like those of UBS might become more understandable ( UBS to Develop Yet Another Permissioned Blockchain for Banks ). Companies that are on track doing so are for example Eris Industries and HitFin . I'd also suggest to skim the most interesting talks from the last DEVCON1 . Certainly, fully open processes through a public blockchain with contracts (i.e. Ethereum) is not yet there in terms of scalability, obfuscated computation (i.e. inference of identity by aggregating anonymized data impossible) and acceptance as evidence in courts. Answered Nov 20, 2015 Author has 76 answers and 110k answer views As Stu said, pretty much all of the investment banks are looking at private blockchain projects for clearing and settlement of a wide range of instruments. Whether or not that's interesting depends very much on your point of view. It's not interesting in the sense it will change the world we live in, as all it really does is help the banks reduce costs and achieve regulatory compliance. What I do find interesting is th Continue reading >>

Blockchain In The Supply Chain Use Cases: Inventory Finance

Blockchain In The Supply Chain Use Cases: Inventory Finance

In the world of international trade, the process of exchanging payments, information and documents between buyers, sellers, banks, and other involved parties is becoming increasingly important for financial institutions. This community aims at presenting views and innovative ideas related to this financial supply chain space. Blockchain in The Supply Chain Use Cases: Inventory Finance The analysis of use cases proposed byCommunity NdTparticipants continues. Inventory Finance(proposed by a winery). The use case leverages the characteristics of blockchain data traceability and uniqueness to access funding for the purchase and growth of vineyards and the transformation of wine products. Currently the winery advances the cash needed to purchase "raw materials" (e.g., plants, agricultural materials, barrels) necessary for the collection and production of wine. It then hands off the vineyard to farmers that will take care of the plants until the harvest. At this point the farmers are paid for the work done, and the harvested grapes enter the production plant to be transformed into wine, put into barrels, mature, get bottled and finally sold. Only at this point the winery recovers the operating expenses and the initial financing. Considering the multi-year life cycle of wine, it becomes immediately evident that the winery has to bear a considerable financial burden during such a long cash cycle. Could it be possible to "offset" the financial burden of this materials warehouse, the company would significantly relief its balance sheet and allocate the financial resources thus released to profitable activities. The solution exists and takes the name ofInventory Finance: specialized operators buy the assets and hold the property during transportation and storage, thus optimizing Continue reading >>

What Are The Applications And Use Cases Of Blockchains?

What Are The Applications And Use Cases Of Blockchains?

What Are the Applications and Use Cases of Blockchains? Blockchain technology is a revolution in systems of record. Bitcoin is historys first permanent, decentralized, global, trustless ledger of records. Since its invention, entrepreneurs in industries around the world have come to understand the implications of this development. The nature of blockchain technology has got imaginations running wild, because the idea can now be applied to any need for a trustworthy record. It is also putting the full power of cryptography in the hands of individuals, stoppingdigital relationships from requiring a transaction authority for what are considered pull transactions. For sure, there is also a lot of hype. This hype is perhaps the result of how easy it is to dream up a high-level use case for the application of blockchain technology. It has been described as magic beans by several of the industrys brightest minds. There is more on how to test whether blockchain technology is appropriate for a use case or not in ourguide Why Use a Blockchain? . For now, we turn to a discussion of the development of blockchain technology for how it could be useful. Cryptographic keys in the hands of individuals allow for new ownership rights and a basis to form interesting digital relationships. As weve discussed in our guides What is Blockchain Technology? , How Does Blockchain Technology Work? and What Can a Blockchain Do? , blockchains provide an opportunity to establish a strong system for digital identity. Because it is not based on accounts and permissions associated with accounts, because it is a push transaction, and because ownership of private keys is ownership of the digital asset, this places a new and secure way to manage identity in the digital world that avoids exposing users to s Continue reading >>

Practical Examples Of How Blockchains Are Used In Banking And The Financial Services Sector

Practical Examples Of How Blockchains Are Used In Banking And The Financial Services Sector

Practical Examples Of How Blockchains Are Used In Banking And The Financial Services Sector Opinions expressed by Forbes Contributors are their own. While there are still several hurdles to overcome before blockchain transforms finance and banking as we know it, the potential cost and labor savings it could create for the global financial market are so appealing that many major financial institutions are investing millions in resources to research how best to implement it. I believe blockchain is a technological advance that will have wide-reaching implications that will not just transform financial services but many other businesses and industries. Billions of individuals and businesses are served and trillions of dollars are moved around the antiquated global financial system each day. Still heavily reliant on paper, albeit dressed up with a digital faade, there are many issues with this system that cause added expense and delays as well as make it easier for crime and fraud to cripple it. Despite the financial industrys resistance to change, blockchain and its expected benefits make it worthwhile. Many of you may be familiar with Bitcoin, a type of digital currency that operates independently from a central bank, but the tech behind that system most people are not familiar with is blockchain. There are many different blockchainspublic and privateand they allow anyone to send value anywhere in the world where the blockchain file can be accessed. Think of each chain as an online database stored in a distributed, peer-to-peer fashion. The storage devices for the database are not all connected to a common processor and each blockordered recordshas a timestamp and a link to a previous block. Cryptography ensures that users can only edit the parts of the blockchain that t Continue reading >>

Five Non-financial Blockchain Use Cases Marketers Need To Understand

Five Non-financial Blockchain Use Cases Marketers Need To Understand

Five Non-Financial Blockchain Use Cases Marketers Need To Understand {{article.article.images.featured.caption}} Opinions expressed by Forbes Contributors are their own. The author is a Forbes contributor. The opinions expressed are those of the writer. This story appears in the {{article.article.magazine.pretty_date}} issue of {{article.article.magazine.pubName}}. {{article.article.magazine.subscription_text}} Despite the negative drone of legacy players, theres little doubt that applications of blockchain technology are going to be a big deal. While the financial use cases for blockchain-based instruments -- including digital currency and their progeny -- are virtually limitless, its a mistake to think that the rabbit hole ends there. New non-financial blockchain use cases are popping up every day. To be fair, some are downright silly, but many are potential game changers. Sales and marketing are not exempt from transformation via blockchain. If you are a veteran of the internet revolution, youre well aware how quickly a staid marketplace can be transformed by technology. With the rate and scale of change constantly increasing, theres no excuse for a marketing professional to miss the boat when it comes to blockchain technologies. Here are five areas that could experience a significant impact from blockchain technology: Contrary to their name, smart contracts are conceptually simple, but their implications are potentially huge. A smart contract is a bit of code that executes an action via blockchain. One obvious example is a payment transfer that occurs when a triggering condition is met. As the functionality of blockchain technologies grow and as cross-chain transactions become ubiquitous, the smart contract becomes significantly more potent. The enforcement mechani Continue reading >>

Blockchain Banks: Use Cases To Watch Cryptic Writings: The Official Orbs Blockchain Blog Medium

Blockchain Banks: Use Cases To Watch Cryptic Writings: The Official Orbs Blockchain Blog Medium

Blockchain has ruled the tech and investment conversation for nearly two years. Since its inception and because of its start with a revolutionary kind of currency cryptocurrency like Bitcoin, the clearest visible path to mainstream blockchain disruption has always seemed to run through the financial services sector. Yet, while many have seen the rise as a direct threat to incumbent businesses, it could be that the players at the center of the centralized financial world actually stand to gain the most. Banks are often a key part of discussion on embedding disruptive technologies, and their capacity to own the revolution early could dictate much of the evolution of the industry. Weve broken down three ways, outside of payments, that blockchain or distributed ledger technology (DLT) could be uniquely impactful in the commercial banking sector. This by no means implies these three are the only financial services which can be made better by DLTs, but certainly would be in a position to benefit immediately. For a look at the full report click here . When it comes to interbank transactions, blockchains would immediately save time and money in terms of fees. Considering blockchain has been developed as a method of payment validation, extending its use to more sophisticated or complicated transactions is an obvious first step to expanding the technologys footprint. Surprisingly, though transfers of this kind are regular occurrences, they at still may take days to clear. It isnt just a case of avoiding consumer frustration or improving efficiency; the banks themselves must set aside reserve assets to back transfers, funds that could themselves be put to use elsewhere if they were not required for this process. Additionally, the multiple steps involved also include several manua Continue reading >>

Remarkable Use Cases For Blockchain Technology In Business

Remarkable Use Cases For Blockchain Technology In Business

Prediction markets have also been disrupted by the blockchain. Since the early 90s and the information technology revolution, forecasting and decision-making has attracted mass interest. Partly, this keen interest has been driven by over-regulation in the financial sector. With the invention of blockchain technology, forecasting has become an even more attractive area, offering even more opportunities. Apart from providing powerful peer-to-peer computing technology to financial companies, the blockchain has also provided a significant market-based forecasting solution for scientific applications. Who are some of the pioneers in combining the power of prediction markets and the blockchain? One of them is Augur , a forecasting tool built on a decentralized network. Augur rewards businesses and individuals for correctly predicting the outcomes of real-world events (like elections, sport events or Oscar rewards results). Another forecasting platform applying blockchain technology is Stox . Stox users can trade the results of events, such as elections, sports matches, and many more categories. The prediction market platform Gnosis is an aggregator of relevant information from both human and AI sources. Benefits of the blockchain for prediction markets: One of the key opportunities that blockchain technology offers to the insurance industry is data transparency. The blockchain automates insurance claims processing, and policy conditions can be written into smart contracts. Smart contracts are protocols that publicly and transparently verify compliance with a contract or enforce commitments. Holding a shared database and keeping records from being altered prevents fraud and provides customers with fair and timely payouts. One proof of smart contracts is LenderBot , a micro-in Continue reading >>

Building It Better: A Simple Guide To Blockchain Usecases

Building It Better: A Simple Guide To Blockchain Usecases

Officer at Blockchain at Berkeley, ICO Growth Consultant, Blockchain Speaker Building it Better: A Simple Guide to Blockchain UseCases According to a recent study by Deloitte , 92% of the 26,000 blockchain-based projects that have been created over the last two years are now dead. After first hearing of this, I had to ask myself: how did this number get so out of hand? This article attempts to articulate exactly what caused this issue, aiming to help us passionate blockchain enthusiasts avoid starting a project that becomes a part of the 92%. Building a Good Blockchain Use Case From the GroundUp For those who are still unfamiliar on the basics of how blockchains function, I would highly recommend first reading the Blockchains, Cryptocurrencies & the New Decentralized Economy: Part 1 A Gentle Introduction article written by Blockchain at Berkeleys Ashley Lannquist last year. For those with familiarity with the subject, we can begin to dive into core capabilities of blockchains that can be applied to create meaningful use cases. With distributed ledger technology (like blockchain), users are able to create database environments where multiple mutually untrusting users can exchange value or append records without a central coordinator. By combining concepts from cryptography and game theory, blockchains remove the need for trust in a system, ensuring that users are able to transparently interact with reduced reliance on third party authorities. This inherent decentralization of blockchain systems is important, as it eliminates the negative effects of central points of failure: breaches in security, network downtime, or network outages. Additionally, as long as safety and liveness guarantees are intact, blockchains will rid networks of transaction censorship or malicious a Continue reading >>

Blockchain Technology For Fintech: 6 Striking Use Cases

Blockchain Technology For Fintech: 6 Striking Use Cases

There are many blockchain FinTech startups offering crypto-based money transfers, including Ripple , OkCoin , BitPesa , Sentbe , and Abra . These services take rather small cuts. Sentbe, for instance, promises its clients fees 95 percent lower than what banks can offer. The blockchain can revolutionize the charity sector as well. Alice is a donation platform that uses Ethereum to serve as a transparent donation system and return trust to charity activities. The company shows each donor the impact their money makes. The trade financing sphere involves lots of tedious paperwork and bureaucracy. Stock and share purchases have to pass through brokers, exchanges, clearing, and settlement. Each transaction is typically settled within three days. Yet transactions can be delayed when trading occurs over the weekends. You need to make sure that all counterparty balances are matched and resolved across global trading systems involving thousands of participants. Each trader must maintain their own database for all transaction-related documents and constantly check this database against others for accuracy, as a single error in one document can propagate across all copies of this document. The blockchain can exempt traders from burdensome checks of counterparties and optimize the whole lifecycle of a trade. Using a blockchain, companies can enhance trade accuracy, speed up the settlement process, and reduce risks. Blockchains help to exclude gray tactics such as naked short selling, which is when a person sells stock theyve borrowed from an owner and dont own themselves. Ornua and Barclays completed the worlds first blockchain trade transactions in 2016, spending four hours instead of a week on a letter of credit a document guaranteeing the export of $100,000 worth of agricultural Continue reading >>

5 Blockchain Technology Use Cases In Financial Services

5 Blockchain Technology Use Cases In Financial Services

5 blockchain technology use cases in financial services One of the most discussed topics in the financial services industry today is blockchain technology. We are beginning to understand what blockchain technology is, but how can we best use blockchain technology within our business? In this series we describe 5 blockchain technology use cases, such as smart contracts, identity management and share trading. We hope they will enhance your understanding of the opportunities and challenges of blockchain technology, and we welcome your feedback and further discussion. Most parties in the financial sector already have a grasp of concepts such as bitcoins and other cryptocurrencies. These concepts work on the blockchain technology , which is a digital, distributed transaction ledger with identical copies maintained on each of the networks members computers. All parties can review previous entries and record new ones. Transactions are grouped in blocks, recorded one after the other in a chain of blocks (the 'blockchain'). The links between blocks and their content are protected by cryptography, so previous transactions cannot be destroyed or forged. This means that the ledger and the transaction network are trusted without a central authority a middleman. Blockchain technology speeding up and simplifying cross-border payments The transfer of value has always been an expensive and slow process. This is particularly true for cross-border payments. Blockchain technology is able to speed up and simplify this process - and also reduces the costs significantly. Blockchain technology the future of share trading Share trading will soon be impacted by blockchain technology. Utilizing blockchain technology allows for greater trade accuracy, and a shorter settlement process. Read the us Continue reading >>

Five Use Cases For Blockchain In Financial Services

Five Use Cases For Blockchain In Financial Services

Five use cases for blockchain in financial services Five use cases for blockchain in financial services Blockchain could drive tremendous change across the financial services industry. Research shows that it could lower the cost for central finance reporting by by 70 percent for some FS organizations. It could also transform the industry as we know it. In time, blockchain might eliminate the need for bank branches, or radically boost competition by lowering the barriers to entry. The technology is so powerful and so new that projecting its ultimate consequences is impossible. But we dont need to look to the future to observe blockchains impact. FS firms are already deploying it and seeing results. Here are the five most common use cases for blockchain in FS right now. The centralization of most clearing and settlement procedures make them great candidates for improvement with blockchain. Adam Ludwin, CEO of the blockchain startup Chain, has even predicted that blockchain will make clearing and settlement redundant. Its as if I gave you a 10 dollar bill, and then asked you how do we clear and settle that payment, he told Time in an interview . You would look at me funny, because it doesnt make sense. Whether or not that comes to pass, FS organizations are already using blockchain to improve clearing and settlement practices. Notable examples include SETL , Euroclear , and Citi and CME Clearings use of Baton Systems technology . The centuries-old practice of trade finance has undergone remarkably little change over its history. Its resistance to digitization to this point may actually make it a better candidate for blockchain than some other areas of the industry. Blockchain could remake trade finance for the modern world, with more efficiency, greater transparency, oppo Continue reading >>

Enterprise Blockchain: Key Usecases

Enterprise Blockchain: Key Usecases

Enterprise Blockchain Use Cases: Licensed from AdobeStock In a previous article: Enterprise Blockchain Has Arrived , I listed a number of key blockchain use cases that are gaining acceptance in enterprises. Since that article my company DoubleNova Group has been approached by many executives, investors, and startups who are looking for more information and clarity on key enterprise use cases. This article details 3 key sectors that are gaining traction plus their important associated use cases. It was co-developed with my colleague Radhika Iyengar-Emens of DoubleNova Group . The content draws heavily on our experience advising relevant blockchain companies or collaborating with hands-on subject matter experts. The sectors and use cases are: Electronic Health Records (EHR) Interoperability For each sector, we examine the industry, its key challenges, and then how blockchain and distributed ledger technologies (DLT) can provide innovative and powerful solutions. First though, we discuss centralized processes in the enterprise ecosystem as a counterpoint to the new decentralized systems. Most enterprise-grade software infrastructures are centralized systems that provide services within a single company, primarily to its employees. These systems may also provide restricted access between a company and its direct partners or vendors. For example, most large companies have an enterprise resource planning (ERP) system which integrates all their major business functions such as procurement, sales, HR, accounting, governance, etc. to enable more efficient operations. Though internally integrated, ERP systems are very challenging and expensive to integrate with other systems. Centralized Architecture: Licensed from AdobeStock There are many other centralized enterprise software Continue reading >>

6 Use Cases For Blockchain In Security

6 Use Cases For Blockchain In Security

Blockchain has the potential to improve encryption and authentication, and that could be good news for IoT security and DDoS protection. Use commas to separate multiple email addresses Sign up now and get FREE access tohundreds of Insider articles, guides, reviews, interviews, blogs, and other premium content. Learn more . Blockchain is a decentralized, distributed electronic ledger built on the model of offering absolute security and trust. Using cryptography, transactions are recorded chronologically and publicly, each one time-stamped and linked to the previous one. Critically, these digital blocks can only be updated through the consensus of all participants, with data interception, modification and deletion near impossible. [ Email encryption review: HPE/Voltage Secure Email vs. Virtru Pro vs. Inky vs. Zix Gateway vs, Symantec Email Security.cloud | Get the latest from CSO by signing up for our newsletters . ] As a result, since hitting Gartners fabled "peak of the hype cycle" in 2016 , Blockchain has become something of a priority for industry leaders, especially in financial services, energy and manufacturing. Authenticating Bitcoin payments has perhaps become the most cited use case, but this technology can extend to applications like content delivery networks and smart grid systems too. How does blockchain apply to cyber security? Blockchain has the potential to improve everything from improving data integrity and digital identities to enabling safer IoT devices to prevent DDoS attacks . Indeed, blockchain might play across the CIA triad of confidentiality, integrity and availability, offering improved resilience, encryption, auditing and transparency. Blockchain plugs the gaps that we have left with our poor implementation of security and lack of trustworthin Continue reading >>

More in bitcoin