The adoption of bitcoin technology has grown beyond the initial expectations. While it is already known that some of the major banking and financial institutions have already started their work on blockchain technology. But what wasn’t known until now was the fact that a majority of the Central Banks across the world, responsible for their country’s monetary policies are experimenting with the distributed ledger technology.
The increased interest in blockchain technology among the central banks was revealed by the representatives of the banks participating in a recently held 3-day event on Policy Challenges for the Financial Sector. Organized in Washington DC by the World Bank, International Monetary Fund and the US Federal Reserve. The event included a special section dealing with the blockchain technology.
The event saw over 90 central banks from around the world participate in it and discuss their initiatives with blockchain technology. These banks have been working on blockchain technology-based applications for the banking industry without any publicity. The event also included participation from the likes of Jeff Garzik, the founder of Bloq, Fredrik Voss – the Vice President of Nasdaq, Tom Jessop from Goldman and Sachs and Adam Ludwin from Chain.
The banking sector has been very interested in blockchain technology to replace the existing networks and systems with a much faster, economical and secure option. The international banking consortium on blockchain technology, consisting of over 40 major banks from across the world intends to replace the existing SWIFT network with blockchain based solution for faster overseas transactions. Similarly, it is already known that the use of digital currency technology in their operations will help the banks to save a lot of money otherwise spent on meeting the regulatory and compliance requirements.
Given all these advantages, the central banks would definitely want to capitalize on it and they will definitely do so in the coming days.