International Business Machines Corp. (NYSE:IBM) and Wells Fargo & Co. (NYSE:WFC) are only two of the many technology and finance majors working with Blockchain to build open source platform for simplified financial transactions recording and ledgering.
What is Blockchain?
Blockchain is a software ledger which has a way of speeding up as well as simplifying transaction recording.
Blockchain now has both the technology industry majors as well as the king-pin financial players backing it open source software development with Linux Foundation.
International Business Machines Corp. (NYSE:IBM), Wells Fargo & Co (NYSE:WFC) as well as London Stock Exchange Group Plc. are a few of the current backers of the blockchain movement.
New development
The new platform will attempt to clone the same process of recording bitcoin transactions, which rely heavily on tracking which anonymous user owns which cache of bitcoins, to the real-time banking and financial world.
The current transaction recording time is known to take a couple of days, since banks need to communicate and establish the existence of funds in the client’s account before the entire transaction can be affected.
The time-period taken by current banking transactions is expected to change if the blockchain technology comes into play.
The idea is to have a public network which allows blockchain applications to run over it allowing faster communication between the various apps.
Consortium
International Business Machines Corp. (NYSE:IBM) Wells Fargo & Co (NYSE:WFC), Cisco Systems, Inc (NASDAQ:CSCO), Intel Corporation (NASDAQ:INTC) are some of the technology giants. Meanwhile, Initiative for Cryptocurrencies and Contracts, Cornell Tech, Digital Asset Holdings are some of the other members of the group.
However, such a consortium to build blockchain is the not the first. Before this attempt, R3 was started by ICAP plc executive David Rutter along with 20 banks such as Citigroup Inc, Deutsche Bank as well as Morgan Stanley.
International Business Machines Corp. (NYSE:IBM) Wells Fargo & Co (NYSE:WFC) backed group will also work with contributions from Hyperledger Project, R3, besides IBM’s own intellectual property and millions of lines of code and dedicated 40 clientele from financial world to test its blockchain platforms.