You may not be aware of it yet but a digital transformation is underway around the world that could forever change the way we get access to financial services. The disruptive technology driving this change is called blockchain and it has already had a profound impact on how we do business in the fund industry.
Blockchain came to prominence with the rise of bitcoin, a peer-to-peer electronic currency. However, its distributed ledger technology has multiple uses. Today, people use blockchain to pay for services and send money safely and instantaneously to family members around the world. The technology is also being used to create digital assets such as stocks, land titles and frequent flyer miles.
Blockchain has broader uses beyond just finance. Recording data and creating so-called “smart contracts” using distributed ledger technology are increasingly being used as a way of preventing information tampering. It can also be used to verify a person’s identity. Chances are that in the future when you sign into an app or website it will use blockchain in some form.
In Luxembourg, blockchain is evolving from a niche technology to a technology that has become more widely integrated within established companies.
Paperjam, April 2017