How Banking System get distruped by Blockchain ?

Blockchain technology is creating hype from the day of its invention and it has gained a lot more attention in recent years . Because of its transparency and flexibility nature, blockchain is being adopted in many industries for its growth and development. Then how Banking sector will alone be in an exception ?

There are thousands and thousands of transactions and funds across various regions , which shows that the Banking sector is also one which is predominantly used by the people. This increases the challenges in Banking and use of blockchain can resolve some of its challenges.

Now , let us discuss about the impacts of blockchain in banking sectors and how blockchain helps to rebuild the present banking sector.

Major Challenges in Banking Markets :

The major challenges that banking sector faces in recent days involves the following :

1 . Continous Monitoring :

As the world is becoming digital , every transactions and payments are becoming digitalized and this increases the responsibities of banking sectors to monitor and record details periodically .

2 . Time Delay :

The involvement of third parties while transactions can take 2 to 3 days or a week to complete the payment process . This time taken to process each single transaction is too long and results user in dissatisfaction .

3 . Payment Costs :

The involvement of third parties and long duration for transactions , results in high costs for each and every transactions . This payment costs are enormous and this creates challenging situation for Banking sectors to engage its users.

4 . Diffculty in Managing Records :

Day by day the users of Banking Sector increases on a huge rate and maintaining the complete ledger for storing all the transaction records is becoming a complex task . This inturn increases the payment process time .

There are lot more issues prevailing in banking and they uses many technologies to overcome all these issues . Blockchain is one among them which helps in recreating the banking sectors with fast payment process.

Blockchain in Banking Sectors :

In the list of industries that uses blockchain , Banking sectors stands first in the list . 30 % of current Banking sectors uses blockchain technology to create a revolution in Banking .
Banking sectors performs many steps to keep the payments secure and safe which requires a more mediators. The process of involvement of more middlemen increases expensive of banking sectors. In turns involvement of many people will create a chance for errors and frauds. The use of blockchain in banking eliminates the use of middle men and provides secured transactions with low costs .

Blockchain provides high level of security for exchanging data and money. Blockchain is safe, secure, decentralized, transparent as well as low-cost .The use of blockchain in banking , has the potential to solve a lot of problems.

Get the benefits of using Blockchain in Banking System in this article :Blockchain In Banking