Indian IT stalwart Tech Mahindra has partnered with smart contract deployment platform Adjoint in a bid to launch the industry’s first-ever integrated financial management and insurance blockchain, as per , The platform is expected to reduce the cost of risk management while eradicating the nuisance of data duplication.
Blockchain Changes Finance
There are many industries that can be made hyper-efficient and transparent using distributed ledgers, but the magnitude of its impact on financial services is unmatched within any industry.
Using Tech Mahindra’s platform, the company estimates that customers will save four million dollars for every billion dollars of financial risk they have in their portfolio.
The platform comes with a communication engine and distributed consensus mechanism that allows users of the platform to reach consensus on what kind of information goes into the blockchain.
Enabling enterprises to authenticate their own plans and analysis with data from a secure immutable environment, will help create a reliable experience for all parties involved.
Whilst this has innumerable benefits for customers themselves, it also saves time and money for their auditors by streamlining compliance and financial reporting.
In short, this blockchain allows the organizations using them to decide what data goes onto the network (jointly), and allows for better access to information from a single platform.
The company’s TechMNxt charter focuses on harnessing new technological innovation in a bid to improve their business models. Blockchain, AI, and other new age protocols have immensely helped companies create real-world solutions for problems that plague the entire industry.
Enterprise Blockchain Boom
The last few months have been an onslaught of blockchain announcements by large companies across the globe.
In a world where technology is rapidly evolving and consumer behavior is dynamically adjusting to these changes, no company wants to be left behind.
Blockchain technology in the financial sector, and more specifically banking, has proven to be a resounding success story for the crypto industry as a whole. Naturally, JPMorgan’s project received early criticism as CEO Jamie Dimon had once referred to Bitcoin as a “fraud”, an opinion that was quickly retracted.
Though there is plenty of contention surrounding JPM Coin, the decision to have it built as a dollar-backed stablecoin has received praise. As opposed to Ripple (XRP), it avoids market fluctuations that could cause a loss during a transaction and will likely be adopted by far larger firms; that said, as of January 2019, Ripple has signed up over 200 clients to its payments platform.
Farook described that the project’s development “on the technical side” was going well. Interestingly, the JPM Coin will run on top of JP Morgan’s very own enterprise blockchain platform Quorum which was built on the Ethereum blockchain in partnership with Microsoft.
The advent of the internet helped connect people across the globe, and blockchains further improve this connection by eliminating middlemen and conflicting information.
By creating one standard database shared for a particular purpose by multiple companies, blockchains are inducing a new age of transparency and ethics for the benefit of everyone.