New Zealand’s SBS Bank Explores Using Blockchain For User Experience Benefits
In some very positive blockchain news, one of New Zealand’s leading banks, SBS Bank, appears to consider integrating blockchain support to provide better user experience to their local clients. This proactive approach is very promising as most financial institutions are not offering enough options for their clients who are interested in investing in cryptocurrencies.
Based on reports from a local newspaper, Southland Times, blockchain technology and virtual currencies were among the key topics that were deliberated on during the bank’s recently held annual general meeting. Even though virtual currencies still elicit lots of skepticism, the integration of blockchain in real-world scenarios provokes lots of interest.
Shaun Drylie, the group CEO of SBS Bank, explained that they appreciate that blockchain has real merit. He noted that while blockchain offered real benefits, cryptocurrencies were highly volatile and that indicated that the market was not too receptive to them as well.
Nevertheless, this doesn’t necessarily mean that the bank will not support cryptocurrencies in the future. Drylie added that they are keenly observing the crypto market, but they cannot decide how the market will be like in the long term.
Increasing Banking Efficiency with Blockchain
Investigating the various uses for blockchain in the banking sector is a part of SBS Bank’s plan of increasing the efficiency and inclusivity of their services. Their vision is to offer better remote banking services to clients who can’t access their local branches. The financial inclusivity could perhaps be in allowing the sizeable unbanked populace, including those with limited access to financial help, to acquire loans easily. All the loan information details can be stored in a blockchain’s distributed ledger, thus eliminating papers and increasing the likelihood for loan approvals by 11%.
Remarkably, SBS Bank is not the only bank that is turning towards blockchain technology for solutions. New Zealand and Australian Banking Group have recently collaborated with IBM to design a more efficient service for insurance reconciliation. Also, the ANZ has also applied blockchain in digitizing their bank guarantee processes.
Industry experts predict that blockchain interest may even shift to cryptocurrencies with the potential BTF approval. A major financial player in the global markets has already filed for SEC approval of a Bitcoin exchange trading fund, which has seen increased interest over the past few months. In conclusion, regardless of whether the ETF will be approved, it is promising that more institutions are starting to consider to integrate blockchain solutions to their services.