The world’s largest insurance company Allianz is experimenting with an internalized token which is meant to send money around the world to eliminate the extensive costs of conversions and supply.
About The Allianz Crypto Token
The project is being called Allianz token and is being helped by a blockchain startup Adjoint.
Adjoint created a proprietary blockchain for the project. They are developers of smart contracts and distributed ledger technology for the financial industry. These tokens shall convert all the fiat currency into token forms making it easily accessible and reducing the cost of supervising fiat currency. This initiative shall be successful in removing foreign exchange restrictions, as it is a global insurance organization.
Oliver Volk, a blockchain expert at Allianz’s reinsurance unit and representative to the B3i insurance blockchain consortium said “It would be helpful to get rid of FX constraints and other stuff we have to optimize, especially if you talk to certain currencies which we do not accept at our headquarters and have to be reconverted”, and added that it would make sense to rely less on the banking system, as this would result in numerous savings on commissions and could be used by Allianz all over the world.
This is not the first time a mammoth company trying to use blockchain technology and cryptocurrency to augment their revenues. As reported, one of the major reasons for immediate trials of the new token is to not be dependent on Banks as they charge a heavy commission with Allianz’s operations in more than 100 countries.
However, spokesperson of Allianz has said multiple times that Allianz tokens have nothing to do with cryptocurrencies and is being used solely to leverage blockchain technology to improve their services.