Blockchain technology is set to “overthrow” the current banking system according to an executive at a Dutch bank. ABN AMRO Bank is working with financial institutions using Hyperledger technology to offer new financial services, including the tokenization of securities.
Speaking at the Blockchain Expo Europe 2018 at the RAI Amsterdam today, an executive of the bank told delegates that they are offering FinTech companies blockchain-based bank accounts. Niek Van Rens, Head of Innovation at ABN AMRO Bank, made a keynote speech in which he also discussed the benefits of using blockchain.
Van Rens said: “We created banking as a service solution. We think this is a way we can service new clients, new exchanges, new PSPs with an integrated offering. Our offering is based on a solution for our clients, including brokers. We will allow a fintech company to have a service with a bank account. We don’t service them with a normal bank account but a white label bank account.”
Van Rens said that the offering is unique and that the bank was the first to create a blockchain bank account. He also said that the bank has one node operating right now which is serving clients and is connected, via an API, to their cash and payments system.
He said: “We can onboard a client within one hour. We will onboard different clients. We will always make the check of client [sic] filtering through our blacklist. Using blockchain technology allows us to create/integrate within our current financial system a new technology which brings future benefits for parties and we have a real tangible solution for new investor firms or exchanges.”
Van Rens said that the bank is looking at tokenizing securities and is running a trial using ERC20 tokens while working with regulators to make sure it will be compliant. Once the securities are tokenized, they will be tradable on the exchange to all whitelisted clients.
He said: “This is an example where we can facilitate tokenization in the securities deposit area. We can create tokens based on all these securities. We’ll have 24/7 trading. We’ll have real-time settlements. We have a low-cost offering. We think we can overthrow the current infrastructure for trading and exchanging securities.”
ABN AMRO has been looking at blockchain technology since 2015. Recently they completed a test with EuroCPP, Euroclear, and Nasdaq using blockchain technology to handle collaterals in margin cells.
- Neufund Partners with Binance and Malta Stock Exchange - July 23, 2018
- IBM Partners with Stablecoin Stronghold USD on Stellar Network - July 18, 2018
- New Blockchain Platform to Provide Digital Immortality - July 18, 2018
- NatWest Joins R3 Blockchain Finance Platform Marco Polo - July 17, 2018
- iXledger Offers New Blockchain Insurance with London Broker - July 16, 2018
- Tech Group MonetaryUnit to Acquire Flubit and Launch Crypto Marketplace - July 13, 2018
- Futuristic, Blockchain-Powered, Algae-Coated Towers Proposed for Hangzhou - July 11, 2018
- Unchain Teams with KPN and Microsoft for Enterprise Blockchain Solutions - July 11, 2018
- Zen Protocol Launches Mainnet Genesis Block - July 10, 2018
- Palladium Launches Regulated ICCO for Institutional Investors - July 10, 2018
- Malta Approves Three Regulatory Bills to Encourage Crypto Adoption - July 5, 2018
- Ron Paul: “Crypto can Bring Back Gold Standard” - July 4, 2018
- EU Report Blasts Economists Who Criticize Cryptocurrencies - July 3, 2018
- VeChain Launches Thor Blockchain. Token Swap Set for Mid-July - July 3, 2018
- Galaxy Digital Invests $20 Million in Blockchain Virtual Reality Platform - July 2, 2018
- DNAtix Pilot Blockchain Technology for Preventative Healthcare - June 28, 2018
- Regulatory Clarity Will Have a Snowball Effect on Institutional Investors - June 28, 2018
- New Platforms Open Up Smart Contracts to Non-Developers - June 28, 2018
- Hyperledger Executive Explores Real-World Uses of Blockchain - June 28, 2018
- Blockchain Tech set to “Overthrow” Current Banking System: ABM AMRO Exec - June 28, 2018