Another day, another essay on blockchain. In this latest, DH Corporation, a provider of technology solutions to financial institutions globally, pinpoints five things that the banking industry must get right with regard to blockchain in order for it to transform the payments landscape.
Many banks have realised the potential for blockchain technology to modernise their infrastructure and processes, and are now developing and testing capabilities, it says. This points to growing confidence that blockchain technologies will transform how financial services—and particularly payments—are conducted and delivered.
D+H says it is encouraged by the potential positive impacts of blockchain on the payments industry, but cautions that banks must be careful to address five key points in order for blockchain to fully realise its potential. Key considerations outlined in the paper include finding and addressing the right problem, and retaining the transformative potential of this technology (especially in light of any new regulations that may be introduced).
“If the past year was an era of experimentation and innovation for banks with regard to blockchain, then the year ahead could be the time we see this technology emerge from banks’ back rooms to solve real business problems,” said Moti Porath, executive vice president, Global Pre-Sales D+H. “However, the technology must get certain things right in order to deliver on its transformative promise.”
The paper is available in full on the company’s website.