Bank Of China Teams Up With Prop Tech And New World Development Blockchain
Prop Tech, a company that aims at replacing the paperwork related to digital licenses will be allowing users to send buyer’s authorized purchase agreement or mortgage application to banks. Moreover, the data that users will be sending will be encrypted and digitally signed.
In this way, with this integration, it will be possible for the bank to reduce its operating costs between 15% and 60%. Moreover, the number of users on the platform is also expected to increase in the future.
The CEO of ASTRI, the Hong Kong Applied Science and Technology Research Institute, Hugh Chow, believes that blockchain will be changing how user information will be transmitted. About it, Mr. Chow commented:
“On a distributed data infrastructure, user information and transaction history in the ecosystem will be transmitted securely, while customer privacy or sensitive business information will not be compromised.”
The Bank of China is one of the four state-owned banks and it cooperated with China UnionPay (CUP) so as to analyze the effects of implementing blockchain technology in the payment systems. In addition to it, the China Banking Association is also working in order to launch a blockchain platform that aims at improving industry efficiency.
Blockchain technology is being implemented in different industries, including the financial sector. With distributed ledger technology (DLT) it is possible to enhance services and reduce costs, allowing companies to become more competitive.
There are many different banks around the world that are using blockchain tech to perform faster transfers and reduce costs. A few days ago, JP Morgan launched its own digital asset called JPM Coin.
China has been working in the blockchain technology field during the last few years. Indeed, there are several companies implementing blockchain systems in the Asian country. The government is also trying to use DLT to improve the level of identification, monitoring, early warning, and many other things.
China has always been trying to have a larger control over its population. The government could implement blockchain-related solutions that would allow them to have an increased level of surveillance over its citizens.