To understand how blockchain technology might disrupt conventional banking, it is important to understand who has publicly shown enthusiasm for it. For instance, tech-savvy stock exchange Blockchains are being used by NASDAQ OMX Group Inc. to "lower time, costs, and friction throughout the financial markets." Goldman Sachs Group Inc. (GS) created significant suspicion after participating in a $50 million financing round in Bitcoin wallet and payments business Circle, Inc.
As a technology that can solve concerns in the traditional banking business, including centralisation, transparency, and secure data preservation and transactions, Blockchain promises to improve these features.
Conventional Banking Issues
Banks and other financial entities are responsible for maintaining our money safe. They require multiple processes and intermediaries to achieve this properly, making the banking process long and costly. Due to manual operations and human mediators, the financial industry is also vulnerable to human mistakes, hazards, and fraud.