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IPFS News Link • Bitcoin

The technology behind bitcoin is coming to high finance faster than anyone predicted

• Business Insider

R3, an industry-wide consortium of 42 investment banks looking at the technology, announced in an email that banks "simulated exchanging value, represented by tokenized assets on the distributed ledger without the need for a centralized third party."

In plain English: banks traded toy money and tokens representing shares and commodities with each other over this new, decentralized network that meant they didn't need to go through third party settlement or clearing house. The trades were carried out in R3's lab environment — a safe sandbox for them to experiment in.

'A major step forward'

R3 CEO David Rutter says in an emailed statement: "This is a very exciting development, both for R3 and our member banks, as well as the global financial services industry as a whole."

The 11 banks involved in the proof of concept were: Barclays, BMO Financial Group, Credit Suisse, Commonwealth Bank of Australia, HSBC, Natixis, Royal Bank of Scotland, TD Bank, UBS, UniCredit, and Wells Fargo.


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