Barclays Representative Comments on Blockchain Businesses Being Compliant with Regulations
A Barclays representative said that blockchain technology businesses should be built taking into account regulatory issues. The Barclay Intrapreneur, Julian Wilson, said that people should not be using blockchain technology as additions to current business models. Instead, companies should re-imagine new business models that would be used to build sustainable blockchain solutions.
During a Hard Fork Decentralized event, he noted that not all business models require blockchains. According to The Next Web, Wilson mentioned that it is not so simple to move the current banking process over the blockchain. One of the main issues around blockchains is related to Know Your Customer (KYC) policies. Some of these networks were not built in order to satisfy these laws around the world.
He then said that Barclays has 300 years of working in the banking industry and that it is not a simple task to move towards a blockchain-based system. There are many things that must be addressed before that’s made possible.
A few months ago, Barclays sponsored a blockchain hackathon in order to explore the best blockchain solutions and increase the efficiency of derivatives contracts processing. This shows that there is an increasing interest from companies to evaluate and analyse blockchain technology for their businesses.
There are other banks that have already implemented blockchain solutions all over the world. Santander and BBVA are two financial institutions that are working with distributed ledger technology (DLT). Other financial institutions such as MoneyGram are working with Ripple, one of the most important blockchain companies in the space.