The use of blockchain technology in the banking sector has received yet another endorsement, this time at the International Economic Forum currently being held in Saint Petersburg, Russia. The event, witnessing participation from over 40 ministers, businessmen, and others from 26 different countries covers some of the major aspects of the global economy, trade, and finance.
Bitcoin and blockchain technology have featured prominently in discussions between the International Economic Forum participants. In a recent report on one of the leading Russian news outlets, the reporter mentions a discussion surrounding the use of distributed ledger technology in the banking sector.
The article quotes an editor of one of the cryptocurrency news magazines, Sven Wagenknecht saying,
“Blockchain provides a secure, cheap infrastructure for all kinds of transactions. It could be shares, bonds, assets and all other property goods. That is why a lot of banks are trying to do blockchain research”.
The number of blockchain projects currently underway in the banking sector covers a range of applications. Participants in these projects include leading banking, financial and technology companies, which has, in turn, resulted in increased confidence in the cryptocurrencies associated with respective blockchains implemented by these projects.
The increased interest in these altcoins is quite evident from their recent price trend. However, despite these developments, cryptocurrencies are not going to gain mainstream adoption anytime soon, thanks to security concerns among a significant portion of the population and the governments.
The concerns about the anonymity associated with Bitcoin and its potential use for illegal activities has got many people worried about its use. But in reality, Bitcoin transactions are pseudonymous at best, and there are tools available to analyze the transaction details and even track them.
Addressing these concerns, Wagenknecht said,
“On the one hand, the blockchain is very transparent as anyone can see any transaction ever made, but on the other, one cannot see the personal data of whoever made the transaction. It is, however, possible to find out who is behind the transaction, by analyzing patterns of transaction history or by analyzing the interface between the blockchain ecosystem and the regulated financial market.”
By becoming part of an international forum focusing on global economic and financial issues, cryptocurrency technology looks forward to a widespread adoption across domains in various countries in the near future.
Ref: Sputnik | Image: NewsBTC