90 of China’s central bank in Washington on the blockchain: Why are optimistic about?
The importance of the blockchain is gradually obvious, because central banks are interested in it, including whether it should be the introduction of digital currency.
On June 1st -3, the central bank regulatory agencies and representatives from 90 countries including China representatives gathered in Washington to attend the sixteenth session of the Fed’s headquarters, financial sector policy challenges the international conference, during the meeting of three days, the delegates heard about the block chain technology report, the meeting held once a year, the conference jointly organized by the world bank, the International Monetary Fund, the Federal Reserve etc..
This year, the theme of the conference is “change in Finance: technological transformation of financial industry” (FinanceinFlux:TheTechnologicalTransformationoftheFinancialSector). Attend the meeting including Federal Reserve Chairman Yellen, as well as the International Monetary Fund (IMF), the world bank and the international clearing bank officials.
The world bank website, two China CBRC representative and a representative of the Bank of China was invited to attend the meeting, including Chinese CBRC Shanghai regulation Secretary Liao Min. China Hongkong has two representatives of the participants.
According to the world bank published on the website of the agenda, this activity topic to block chain and financial technology. At the meeting, the delegates introduced their progress in the exploration of the blockchain last year and digital currency technology, and put forward their own exploration problems for discussion.
Analysis pointed out that in the high level meeting on 90 central banks on behalf of the common block chain is discussed, for the first time in history, the importance of such prominent blockchain has been recognized by financial regulators.
According to Peng Bo reported that the Washington digital chamber of Commerce (ChamberofDigitalCommerce) founder and chairman of the meeting of the PerianneBoring block chain agenda support. After Boring, the founder of Bloq JeffGarzik, vice president of NASDAQ FredrikVoss and Goldman executive director of TomJessop.’s group meeting at the headquarters in San Francisco block chain start-up company Chain CEO AdamLudwin made a keynote speech at the meeting, introduced to the more than 90 central bank representative block chain technology, and its potential application in the field of finance.
“The real golden opportunity, the direction of the central bank is a digital currency.” Ludwin at the meeting said: “in the infrastructure stage, almost always as technology creators and supporters of the government to play a leading role.”
Ludwin in an interview with Bloomberg said the central bank representatives for the blockchain topic asked a lot of “sharp”, he said: “they don’t want to challenge this technology, but want to know” what does it all mean? “”
Bloq co-founder MatthewRoszak said, many participants seemed to improve agency operations on the block chain are very interested in the way. “They understand the blockchain what to do, what not to do. They put the block chain as improve work tools, they are responsible for the central bank’s policy decisions, and block chain technology to provide transparency and openness of the hitherto unknown”.
Boring said that the central leadership made a lot of high level, especially in emerging markets around the problem. They are from Africa and South America, said the effect of close attention to the block chain and digital currency in global competition.
The concern is that Asian central banks expressed bitcoin anonymous creator Nakamoto Somami identity concern.
Boring said: “let them trust the creator of unknown really difficult”.
As one of the most important characteristics of bitcoin blockchain underlying technology is the so-called security. And after this year the number of central banks suffered large theft, the central bank has a chain of interest to block technical reasons.
In February this year, the central bank foreign exchange reserve bank account was hacked, stolen nearly $one hundred million. According to BBC reports, the Central Bank of Bangladesh network hackers, issued dozens of transfer requests. The spelling mistakes caused by relevant payee bank transfer of Deutsche Bank note, and then asked the central bank to verify the information, the latter aware of account theft, and immediately abort the transaction. Almost at the same time, the Federal Reserve Bank of New York to the Central Bank of Bangladesh will apply for the transfer of suspected alert. Allegedly, if at the time the application is approved, the theft amount may be as high as $1 billion.
In addition, in the Vietnamese capital of Hanoi pioneer Bank of Vietnam said in May 15th this year, it had foiled attempts to use false society for Worldwide Interbank Financial Telecommunication in the fourth quarter of 2015 (SWIFT) information, hacking stolen bank $1 million 100 thousand, modus operandi and Bangladesh Bank stolen similar.
A commercial bank in Ecuador BancodelAustro has also been hacked in January 2015, stolen $12 million.
These attacks against banks are carried out by invading the banking network, and the SWIFT system vulnerabilities accentuates.
According to the analysis of the current society, the blockchain technology will be able to prevent such attacks. Because unlike SWIFT, not the banking system run in the block on the chain was broken in a node, because the system is running the world connected in this block chain on all computers at the same time.
Deputy Secretary General of the financial chain alliance, Shenzhen block long silver chain Technology Co. Ltd. CEO Shen Tu youth to surging news said that if the use of block chain technology, the safety of the banking system will be greatly improved, at least not the center of the database has been tampered with, the funds being stolen will not like this is difficult to recover. Because the digital money system based on block chain, each account balance and transaction records are traceable, it will also have great achievements in anti money laundering.
At present, more positive attitude of the central bank for China digital currency. In February this year, the central bank governor Zhou Xiaochuan in an interview that the central bank started very early study of digital currency, “as a generation of currency notes, low technical content, from the point of view of safety and cost, is the new technology and new products to replace is represent the general trend. Especially with the development of the Internet, global payments have undergone tremendous changes, the establishment of circulation system of digital currency, finance for infrastructure construction, promote economic quality and efficiency upgrades are necessary.”
Shen Tu youth believes that if the central bank to issue a digital currency in the blockchain basis, should first develop the mature technology platform, which in two or three years will be launched. Another is to solve the problem of the interests of the central bank and commercial bank.
“The central bank issued a digital currency is definitely not for the leather commercial bank’s life, they will certainly find their position in the new system and the set of responsibilities, issuing process, their respective responsibilities clearly defined until after the real issue. The central bank is based on the digital currency issue is expected to block chain trial in a small range of three to five years, and gradually improve the blockchain technology level, additional business.” Shen Tu youth said.