Industrial and commercial Bank of China (ICBC), which is part of the “Big four” major state banks in China are going to patent the blockchain is a solution for exchange of financial assets.
The Blockchain will accelerate the exchange of assets: the largest Bank patented a new solution. Photo: haberler01.com
The respective patent application, the Bank presented in January of this year, and published its description last week. According to the application, experts expect ICBC to develop a platform that can be used by other financial institutions in order to work as nodes for the formation of a distributed network.
When one organization that is a party platform initiates a transaction request, it launches the smart contract. As a result, each node (other financial institution) can check the payment transaction on the basis of the information provided (account balance of the sender, his name, amount of payment). The transaction can be considered complete in the case when the network receives the transaction approval from all participating nodes to achieve consensus, which indicator must be above the set level.
According to the application, the key aim of such a blockchain solution is to eliminate the middlemen in the existing system and to improve the liquidity of financial assets. In fact, according to the ICBC, the existing system of sending interbank and cross-border transactions is slow and costly.
The traditional chain of transactions created on the basis of a centralized system of mutual trust. Therefore, it has a number of problems, including: high cost, low efficiency, stability and flexibility. These factors impede the process of Bank output on the market in order to meet the growing demand for innovative financial products
patent application ICBC