Industrial and Commercial Bank Of China To Accept Blockchain Technology

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Industrial and Commercial Bank Of China To Accept Blockchain Technology

As per the news reported on 1st September 2018 by BiaNews, Bejing-based online community editor, the chairman of Chinese multinational banking company – Industrial and Commercial Bank of China (ICBC) has claimed that the bank will focus on the development of blockchain technology to bring more efficiency in the banking transaction.

Industrial and Commercial Bank of China is reportedly serving since 1984 and holds the position of the largest bank in China with over 530 million personal customers and 5,000 corporate. Earlier in 2017, the bank focused on the development of “intelligent banking” and further escalated the deployment of the new technology in the field of finance.

Yi Huiman, the chairman of ICBC mentioned that the bank will focus on innovations in the field of big data, cloud computing, the blockchain, artificial intelligence (AI) and the Internet of Things (IoT).

According to the news source, the financial institution will work on finding the solutions for “smart banking” that will directly help in securing the financial data to be shared with third parties and improving the services related with the financial ecosystem.

While the regulations from the Chinese government are critical towards acceptance of digital currencies since September 2017, despite that the country has shown a positive attitude towards blockchain technology. The country has not only accepted the benefits of blockchain but also participating actively in the development and implication of blockchain technology in various industries.

The Beijing Sinfotek Group and Beichuan Qiang Autonomous County of Sichuan Province, last week joined hands to form a new blockchain company that focuses on “industrial poverty alleviation and forestry economic development.”

Earlier in May, the Bank of China made an announcement regarding the use of blockchain technology to improve the poverty reduction efforts in Tibet Autonomous Region. In order to manage the local poverty reduction fund, the financial institution earlier makes use of a cloud-based system that includes functions such as security certification, access to information, and transfer of files to collectively manage different aspects such as project verification, fund application, and fund allocation. Since the system previously has some constraints, therefore, in order to remove all the drawbacks associated with the previous system the Bank of China decided to upgrade the system with the new blockchain technology.

The bank set up a multi-node blockchain network in order to provide a perfect solution. All this helped the financial institution to connect with the partners such as the Agricultural Bank of China as well as other similar fund applicants.

The Communist Party of China (CPC), at the beginning of August 2018 unleashed a primer focusing on blockchain’s possible applications in different industries. The CPC by unleashing the book aimed to help the government authorities to understand the new digital technology as well as the concept of distributed ledger technology (DLT). CPC’s primary focus was to help the official to consider the challenges and benefits of adopting blockchain throughout the country.