Bank of America has more patent applications than any other firm according to its CEO Brian Moynihan.
The CEO says the bank believes in the idea of distributed ledgers, smart contracts and other related ideas about blockchain, but this is not a new idea.
“The question of an anonymous currency, that’s a policy question that people have to answer,” he told Yahoo Finance at a World Economic Forum. “But the idea of digital movement of money, and blockchain, we’re all for.”
The bank calculates 48 blockchain patent applications
So far, the bank has 48 patent applications related to blockchain according to one of its official.
Moreover, a search shows that over 27 patents filed by the bank contain the word “blockchain,” 36 include the word Bitcoin and 39 include the word cryptocurrency. One latest patent application in May involves a proposal to use “blockchain alias for person-to-person payments.”
The bank also in December won a patent awarded by the U.S. Patent and Trademark Office. The patent describes a method to convert one digital currency to another, which is essentially a crypto exchange system. The system is automated with the rate based on external data feeds.
The three-account system has a customer account where customers store cryptocurrencies, float account where an equivalent amount of cryptocurrency being converted is held and the third account is owned by the business running the system. The system collects data from external information sources to establish an optimal rate. It also could block illicit trades based on an assigned risk score and the amount being transferred. It had filed another patent in 2014 to create a cryptocurrency-powered wire transfer system.
The CEO said that banks cannot get in the way of people buying coins as an investment. He also added that it is up to people to make that decision.
The statement goes as follows,
“We can’t get in the middle of this,” he said. “We don’t trade it, we don’t have anything to do with it, because that’s really up to people to make that decision, we’re not going to participate in it.”