On 23rd August, an Argentinian based website, Cripto247, announced that the blockchain technology that backs transactions and money transfers would replace the present technology that supports transactions and money transfers in commerce and trade. The Chief Information Officer of JP Morgan, Lori Beer, expresses the view.
Beer further elucidates that in future, let say in the time span of few years, the prevailing technology will be completely taken over by blockchain. According to him, blockchain open doors of new opportunities for finance and commerce and in the process will widen its scope.
Beer gives a crystal clear statement to the Cripto247 website regarding the use of blockchain technology in JP Morgan. He claims that the bank uses the blockchain technology only to streamline the payment system and safeguard clients’ data concerning their Know Your Customer policy. She was given an astute assurance to the public through the website that the blockchain technology will also help to combat the money laundering crime.
Beer asserts that the blockchain technology that they have implemented in their banking system has a very different use. It is because the bank has now shifted its exposure to many other routes. Some of them are:
Beer was also questioned about JP Morgan’s stance on purchasing the digital currencies. She blatantly answered that the bank only backs those transactions that are monitored and controlled. Moreover, to confirm what is new in the field of cryptocurrencies and whether their dealings through bitcoin are legalized, they have experts who specialize in such assessments and evaluations.
However, Beer maintained her silence when she was questioned about the role if Initial Coin Offerings in the bank.
At the start of August, Cointelegraph claimed that JP Morgan CEO envisions a bright future for his bank by the implementation of blockchain technology. He argues that at present, this technology is passing through a probation period and he is hopeful that it will have far-reaching effects in a lot of other things.
A patent was applied in May by the bank for the blockchain technology that can facilitate both inter and intra bank payment transfers through peer to peer network. This patent will exclude the need for a third party that keeps the audit trail, and in turn, the transaction can be processed efficiently by a distribution ledger.