UK Based Insurer L&G to Use Amazon AWS Based Manged Blockchain System for Corporate Pensions
- Amazon, the world's largest online retailer, has entered the blockchain space.
- The tech giant's solutions such as Amazon Web Services (AWS) can be used to complement current distributed ledger technology (DLT)-based software.
Amazon Launches Blockchain-based System
News outlet Reuters has confirmed that one of the most valuable companies in the world, Amazon are partnering with UK based insuring giants Legal & General to develop a blockchain system for handling corporate pension deals.
L&G said it would use a distributed blockchain system launched by Amazon Web Services (AWS) to manage bulk annuities, which involve Legal & General taking over companies’ defined benefit or final salary pension schemes.
Thomas Olunloyo, CEO of Legal & General Reinsurance said:
“Blockchain suits the long-term nature of annuities business as it allows data and transactions to be signed, recorded and maintained in a permanent and secure nature over the lifetime of these contracts, which can span over 50 years.”
Amazon Managed Blockchain
Legal & General, is a British multinational financial services company headquartered in London, United Kingdom. Its products and services include investment management, lifetime mortgages, pensions, annuities, life assurance, and general insurance.
A couple of months back AWS made its Amazon Managed Blockchain (AMB) generally available. Amazon Managed Blockchain scales to support thousands of applications and millions of transactions using popular open source frameworks like Hyperledger Fabric and Ethereum.
Customers who want to allow various parties to execute transactions and have a cryptographically verifiable account of them without the need for a trusted, central authority can quickly set up a blockchain network spanning multiple AWS accounts with a few clicks. Rahul Pathak, General Manager, Amazon Managed Blockchain at AWS stated:
“Amazon Managed Blockchain takes care of provisioning nodes, setting up the network, managing certificates, and security, and scaling the network. Customers can now get a functioning blockchain network set up quickly and easily, so they can focus on application development instead of keeping a blockchain network up and running.”