TL;DR Breakdown
- SBI has become the first bank in India to join the JPMorgan blockchain network for better cross-border payments.
- The blockchain is expected to simplify the processes involved with the traditional system.
The banking industry is unarguably one major sector where blockchain technology is playing a significant role, especially when it comes to making cross-border transactions. Blockchain simplifies and fastens the whole process, and so, the State Bank of India (SBI), a public sector banking and Fortune 500 company, is looking to adopt the technology. On Monday, the bank partnered with the US-based JPMorgan to join its blockchain network.
SBI adopts JPMorgan Blockchain
As reported by the Economic Times of India, the JPMorgan blockchain network will have the Indian bank fasten cross-border payments and essentially help the customers to save more time and cost in using the traditional option. The bank estimated that the blockchain would cut the time for cross-border payments-related inquiries by some hours, meaning that beneficiaries will be able to receive cross-border payments from SBI faster.
Following the development, SBI has become the first bank in the country to join the JPMorgan blockchain. While commenting on the partnership, the deputy MD at SBI, “We have undergone a significant digital transformation in recent years and continue to add new technologies to create real value to daily operations,” said Venkat Nageswar, deputy MD – international banking group, SBI.
Meanwhile, a spokesperson for JPMorgan also mentioned that they are looking to expand their blockchain network presence in Indian.
Banks are adopting Blockchain
Although most banks do not have a friendly view of cryptocurrencies, they are increasingly interested in using the blockchain, which is the technology behind digital currencies. Lately, Cryptopolitan reported that the German Deutsche Bank (DB) also adopted the JPMorgan blockchain network to facilitate better cross-border transactions. Some other banks are exploring blockchain technology to launch a digital currency.
