- World leading bank plans huge move over to blockchain technology
- The move will see billions tracked at HSBC via blockchain technology
- This is a positive move in the world of blockchain adoption
HSBC is a global financial institution and one of the largest banks in the world. They operate on a truly global scale across four different banking branches and chains. It would be fair to say that HSBC is one of the world’s biggest banking powers which is why it’s very exciting that the bank has recently announced plans to start using blockchain technology.
We have to get excited when these announcements come around as they pave huge steps towards global blockchain adoption, which is something that has to occur if we ever want to see the adoption of cryptocurrency too. In short, with HSBC talking about blockchain technology, their rivals will want in on the action too, creating what could be a global shift towards mainstream banks actually using the blockchain.
The announcement details that HSBC currently plan to move away from their old fashioned paper based records system to an upgraded modern system called the Digital Vault Platform early next year. The data within the system would include around $20 Billion worth of information about investor holdings, that would become easily accessible to those investors via this blockchain integration. According to supporting reports:
“HSBC intends to move its current paper-based records onto its Digital Vault platform by March 2020, allowing investors to track securities in real-time. The U.K.-based bank will specifically digitize its private placement records, allowing investors to quickly check on holdings.”
“The records are currently held in paper-based records, according to the report. It can be tricky and time-consuming to access them in their present form. HSBC is only transferring 40 percent of its records onto a blockchain, according to the report. The bank holds $50 billion in assets at present.”
We would expect that should this roll out prove to be a success by March 2020, in the following years, the remaining 60% of data would also be moved over to the system to really clean up the way HSBC investors are able to access data and information.
Overall this is a very positive move and will see yet another major institution start to explore blockchain technology in a way that can really contribute to a more efficient banking environment. If the investors like it, what’s to stop them going on and learning a little more about the blockchain themselves? Whilst it might not seem the case at the minute, moves like this are sure to spur on a big wave in Bitcoin investment a little further down the line, just watch this space.