Joyce Chang, The chair of global research at JPMorgan states that:
Blockchain isn’t going to reinvent the global payment system, but it will provide marginal improvements. The most meaningful impact will probably be three to five years away and mostly on trade finance.
Joyce Chang presented a report recently stating about blockchain apps within trade-finance to be common due to its high potential retrieval from effectiveness via digitization. Moreover, she also notes regarding cryptocurrency that has already attracted major attention, whereas, the underlying technology relative to the distributed ledger is significantly essential.
Within this report, Chang also outlines the Interbank Information Network aka IIN that currently incorporates over 157 member banks globally. Additionally, JPMorgan is a developer behind IIN operating on its Quorum platform using the Ethereum blockchain. This particular firm focuses on managing challenges related to information sharing within banks. They also look for expediting transactions to recipients.
According to the report, the Spanish banking solution including BBVA and Santander have always been forth regarding the blockchain tech application to implement within their businesses. Back in December, BBVA closed a loan of worth €150 million using blockchain technology together with Porsche Holding. Also bank in April, the same bank claims to be the first bank globally. Which conducted a complete loan process via blockchain.
Meanwhile, both banks unite with the International Association for Trusted Blockchain Applications aka IATBA at European Union. BBVA along with Santander was amongst the initial five banks that joined IATBA. As blockchain today is more widely known and adopted within financial services. Chang mentions that this tech has to face four core challenges:
Considering blockchain, earlier in January, a group of researchers belonging from popular US universities introduced a worldwide scalable decentralizing payments network. Moreover, the Distributed Technologies Research now consist of researchers direct from the Stanford University, MIT aka Massachusetts Institute of Technology, and the University of California, Berkeley to fund driving the development of a cryptocurrency which entitles as “Unit-e.”