Written by Rohas Nagpal, Chief Blockchain Architect, Primechain Technologies
BankChain is a platform for banks for exploring, building and implementing blockchain solutions.
BankChain's active projects include Shared KYC / AML, Syndication of loans/consortium lending, Trade finance, Asset registry & asset re-hypothecation, Secure documents, Cross-border payments, Peer-to-peer payments and Blockchain Security Controls.
BankChain members (in chronological order) are State Bank of India, ICICI Bank, DCB Bank, Kotak Bank, Federal Bank, Deutsche Bank and UAE Exchange. Membership to BankChain is open to banks and other financial institutions. Membership benefits include instant access to the BankChain platform - a private inter-bank blockchain and unlimited access to source code of all active projects & proof-of-concepts.
What is blockchain technology?
Blockchain technology was announced through the paper titled "Bitcoin: A Peer-to-Peer Electronic Cash System" by Satoshi Nakamoto in 2008. Interestingly, this paper does not specifically use the word "blockchain". This paper talks about a "purely peer-to-peer version of electronic cash" where "the network timestamps transactions by hashing them into an ongoing chain of hash-based proof-of-work, forming a record that cannot be changed without redoing the proof-of-work".
Simply put, a blockchain is a peer-to-peer network which timestamps records by hashing them into an ongoing chain of hash-based proof-of-work, forming a record that cannot be changed without redoing the proof-of-work.
On the other hand, a distributed ledger is a peer-to-peer network, which uses a defined consensus mechanism to prevent modification of an ordered series of time-stamped records.
All blockchains are distributed ledgers but all distributed ledgers are not blockchains.
Blockchain technology has earned the trust and respect of banks and Governments around the world.
Blockchain technology derives its strength from strong cryptography. Blockchains are provably immutable and enable the rapid transfer and exchange of crypto-tokens (which can represent assets) without the need for separate clearing, settlement and reconciliation.
There are multiple blockchains and distributed ledger systems to choose from - BigChainDB, Chain, Corda, Credits, Elements, Eris, Fabric, Ethereum, HydraChain, Hyperledger, Multichain, Openchain, Quorum, Sawtooth, Stellar.
Blockchain benefits for banks
- Improve client satisfaction through faster, more convenient and secure services.
- Increase profits and reduce costs.
- Minimize fraud.
- Maximize efficiency, security & transparency.
- Accelerate information and money flows.
- Greatly improve auditability.
- Streamline paperwork.
- Showcase your bank as a global innovator.
- Be at the forefront of FinTech and emerging tech.
Blockchain pain points
- Installing, configuring, securing, troubleshooting, updating, and maintaining a blockchain ecosystem (base operating system, configured instance of a suitable blockchain fabric, external databases, webservers, FTP servers etc.) is a complex and time-consuming task.
- There are multiple blockchains and distributed ledger systems to choose from - BigChainDB, Chain, Corda, Credits, Elements, Eris, Fabric, Ethereum, HydraChain, Hyperledger, Multichain, Openchain, Quorum, Sawtooth, Stellar.
- Building blockchain solutions from the ground up is very expensive and time-consuming.
How BankChain works
All BankChain members get:
- Instant access to the BankChain platform - a private inter-bank blockchain
- Unlimited access to source code of all active projects & proof-of-concepts
- Access to exclusive discussion forums
- Access to Primechain Official training materials
- Two VIP invites to Future Money Conference
- Membership to various BankChain committees.
The BankChain Steering Committee is responsible for the overall direction of BankChain. The BankChain Technology Committee is responsible for the technological direction of BankChain and the BankChain Regulatory Committee supervises the regulatory, data privacy and data security implications of BankChain activities.
For more information on Bankchain please contact