Visa is one of the biggest players in the financial market today. The company is looking to strengthen its position by looking at blockchain technology. A recent partnership between Visa and Blockchain Tech heralds a new era of settlement. Making banking transactions more secure and efficient is the primary objective.
Blockchain technology can transform all of finance as we know it today. Visa is looking at this technology to improve transaction settlement. Right now, this process can take anywhere from a few days to several weeks. Speeding up settlement is of the utmost importance to financial service providers.
Visa and Blockchain Tech Focus on Settlement
Blockchain Tech, a Vancouver-based company, may hold the solution to this problem. The blockchain startup has been exploring distributed ledgers for quite some time now. Thanks to a recently announced collaboration with Visa, both parties will conduct a field trial of blockchain-based settlement.
Blockchain Tech Ltd. Founder Guy Halford-Thompson stated:
“Our company’s technology has many advantages over competitors like R3CEV LLC, which is working with a consortium of banks including Canada’s Big Five to explore the use of blockchain for similar purposes. Using a combination of the Ethereum platform and our own software, BTL addresses two major problems facing blockchain in finance: Privacy and speed.”
It is interesting to see Visa choose a partner involved in Ethereum blockchain technology for this trial. It also appears Visa is not interested in using private permissioned blockchain technology either. The company wants scalability, privacy, and decentralization; that much is certain.
With the software being provided by Blockchain Tech Ltd, an exciting future lies ahead. Several European banks will be invited to test this distributed ledger technology. Money will be exchanged, and other blockchain-based activities will be tested as well. More details regarding this trial will be revealed over the coming weeks.
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