The Blockchain technology is irreplaceable and has put its impact on so many industries from healthcare to banking and many more. Using Blockchain in these industries is making forever impact on them. So, in banking sector also use of Blockchain results into better security, transparency and banking transactions.
The World Economic Forum has considered Blockchain technology as backbone of the financial system as it is making banking work more easy and secure. This shows that Blockchain will play important roles in the financial sector for sure. Here are some applications of Blockchain Technology in banking sector.
Fast-paced transactions
Involvement of third party in transaction process takes very long time in banking to complete transactions. Usually this process takes time from some days to few weeks. Such transactions where payment gateway is used can be replaced by Blockchain technology with real time payment solution. With use of Blockchain, transactions can take only few seconds to complete. So, in few days only, Blockchain technology will eliminate payment gateways and result into fast transactions which will save time of everyone.
Lower cost of financial transactions
The time required to complete banking transactions results in more financial cost. Removing payment gateways from transaction process will result in low transaction cost. So, this will eliminate third-party charges from all financial transaction in the banking sector. This will become advantage for businesses as well as individuals who conduct financial transactions on daily basis.
Fraud Reduction
The use of Blockchain technology can reduce fraud in the banking sector as Blockchain is distributed ledger system where each and every transaction block has its own and unique timestamp. In Blockchain technology each block of transactions are link to past transactions. Thus, it can cut down crimes and frauds in online financial transactions and save banking industry from cyber-attacks.
Help in KYC (Know Your Customer)
All over the world, in every year banks spend million dollar for running know your customer campaigns. Blockchain technology offers transparency to each transaction. If we are using Blockchain technology in the financial industry, No one can delete or interfere the transactions. This is because this technology locks each transaction with a unique timestamp. With Blockchain, one can verify transaction over the internet with ease and comfort. This surely helps banks to know their customers.
Why to adopt Blockchain in Banking?
Current banking systems are highly dependent on paper work and old process and what they need is to have an upgraded system surrounded with trustable technology that could detect and resist frauds and security issues. The Blockchain technology is the one that can give the banking systems security, transparency and fast transactions.
We cannot consider banks as independently operating organization as there is involvement of intermediaries for all processing and transactions. Also, the transfer of money on an international scale still take up to 4 to 5 days along with some risks. With help of Blockchain system, banks would be able to transfers money quickly without even having the risks as the system would be able to resolve any problem.
Day by day, the world is going digital and because of this, even small payments and transactions are also processing digitally. The Blockchain technology can make every transaction possible with fast speed along with the minimum charges and scalability of transactions.
Advantages of adopting Blockchain technology in any Business
Process Integrity
Improved Traceability
Better Security
Faster processing
Greater Transparency
Increased Efficiency
From above listed points, we get an idea that Blockchain technology is unique and it can impact and transform the banking sector with its unique features. There are so many career opportunities available in Blockchain technology and now days many institutes offering classroom and online Blockchain training course. NearLearn is one of the top institutes which offer Blockchain Training course in Bangalore with 100% job assurance. Along with Blockchain, we provide machine learning training with python, Data science training, Deep Learning training, Python Django Certification, React JS training, React Native Training, Artificial Intelligence, and many more. If you want to know about our course and other training programs, please contact us at www.nearlearn.com or Call: 8041700110
Also Read: HOW BLOCKCHAIN TECHNOLOGY CHANGE THE WORLD?
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