Blockchain is booming. From data management, financial services, to payment processing the use cases for blockchain are growing. Banks and insurers are looking to blockchain technology to standardize processes, house information, and act as a shareable information portal. Financial Technology Today has gathered the top stories around the world surrounding blockchain technology. Read on to learn more.
Blockchain startup Axoni has raised $32 million thanks to investors that also happen to be clients. Wells Fargo, J.P. Morgan, Citigroup, NEX Group, Franklin Templeton, Andreessen Horowitz, Y Combinator, Digital Currency Group, and others, have invested in series B financing for the firm that plans to complete work on the Depository Trust and Clearing Corporation, that plans to move its $11 trillion Trade Information Warehouse to custom blockchain. Axoni co-founder and CEO Greg Schvey described the technology as “Turning projects into products.”
“These are very strategic investors,” said Schvey. “We have deep strategic and commercial engagements with most of them.”
Read more here.
BitPay Inc. was approved for a virtual currency license by the New York State Department of Financial Services earlier this week. Following a review of BitPay’s anti-fraud, anti-money laundering, and cybersecurity policies, the company was awarded the first license for a payment processor in the state. With the license, BitPay can process payments in the State of New York between merchants and consumers.
“This is an important milestone for BitPay to secure the virtual currency license from the New York Department of Financial Services and be the first non-exchange to do so,” said Stephen Pair, CEO of BitPay. “We believe this gives businesses not only in New York but across the country confidence that blockchain technology offers clear benefits to businesses engaged in e-commerce and cross border transfers.”
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Reducing Fraud with Blockchain
Cybersecurity, anti-fraud, and anti-money laundering is top priority for new blockchain companies. A new blockchain company by RXIL, A.TReDS, MYND Solutions, and MonetaGo, may help reduce fraud. The network houses a marketplace where small businesses can come for financing on invoices, connecting users with trusted Indian banks. This process is projected to reduce the estimated two percent of fraudulent invoice financing around the world.
“Because today they don’t have a way to communicate with each other, that’s one way it’s perpetrated,” said Jesse Chenard, MonetaGo’s chief executive officer.
Read more here.
Blockchain, an encrypted database containing information like financial transactions and data on property, could now be used to share medical information. Insurance companies in India are looking into blockchain as a way to share medical records with each other.
The 19-member consortium could share records, with the consent of customers, with each other instantly. Personal data management and fraud detection may be a concern when implementing this technology, but the consortium has a plan in place to effectively detect fraud.
Read more here.
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