BIS Research: Block chain applications can save tens of billions of dollars per year for capital markets


nnnBIS Research recently released a new report to analyze and forecast the application and development of block chain technology in the financial services market over the next decade. The report highlights the main driving force and resistance of the block chain application, and details the technology may be the cost of financial services departments to save the cost of a certain reference and guidance.n
nnTranslated by: Inan
nAccording to a new report by BIS Research, the use of block-chain technology can save $ 60-80 million in annual savings for the KYC / AML sector, save $ 3 billion to $ 40 billion for trade finance, save $ 500-600 billion for capital markets Then
nThe market intelligence report is entitled “2017-2026: Blockchain Technology in Financial Services Market – Analysis and Forecast: 2017 to 2026”, focusing on financial institutions and block chains Technology providers can use the various opportunities and use cases and the resulting cost-effectiveness and value. It highlights the key drivers and resistance of block chain applications and the role of major market participants in the industry.n
nAccording to BIS Research, the driving force includes the need to address the problems of inefficiencies in the existing technology, consumers in the post-2008 recession period of the financial services market increasingly need to ease the situation, and the technology may bring a variety of Benefits such as cost reduction, elimination of intermediaries, increased transparency and security. In addition, the financial drivers of financial giants and the strong support of the government and the central bank have also contributed to the development of block chain technology.n
n”Block chain technology can save $ 40 billion a year for financial institutions in terms of infrastructure, IT, operations, third-party costs and managerial costs,” said Shazlie Khan, an analyst at BIS Research.n
nThis benefit is particularly evident for market intelligence and consulting firms. Recently, seven European banks (Deutsche Bank, HSBC, KBC, Natixis, KLB, Societe Generale and UBS) have chosen to use IBM’s technology to create chain chains in the area of ​​trade finance, The future of the chain industry has brought about significant changes. Faisal Ahmad, chief analyst at BIS Research, said the move marks the first real-world block chain use case in financial services that will pave the way for further development and expansion of the technology in the world.n
nThe report author analyzes the global market for major block chain applications, including KYC / AML processes, syndicated loans, capital markets, asset management and insurance. According to the report, the cost of the technology for these sectors is:n
nnKYC / AML – $ 60-80 million, is expected to be implemented in 2018-2020 block chainn
nTrade finance – $ 300-400 billion, is expected to be implemented in 2017-2019 block chainn
nInsurance – $ 400-500 billion, is expected to be implemented after 2022 block chainn
nP2P payments – $ 30-50 billion are expected to be implemented in the block chain from 2016 to 2019n
nCapital market – $ 500-600 billion, is expected to be implemented after 2020 block chainn
nSyndicated loans – $ 100-150 billion, is expected to be implemented in 2018-2022 block chainn

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