Distributed ledger tech could save TradFi $100B a year: Lobby group
Technik Die Distributed-Ledger-Technologie könnte TradFi 100 Milliarden US-Dollar pro Jahr einsparen: Lobbygruppe 3 mins ago Bitcoin Ethereum Nachrichten Around $100 billion a year or more could be saved if distributed ledger technology (DLT) was used in traditional markets, claims a new report from the Global Financial Markets Association (GFMA). In a May 16 report, the traditional finance sector lobby group, along with international consulting firm Boston Consulting Group (BCG) and others, asked both regulators and traditional financial institutions to take a more serious look at the upsides of the technology. A distributed ledger is an umbrella term for a system that records transactions and digital information. A blockchain is a specific type of distributed ledger. “Distributed ledger technology holds promise for driving growth and innovation,” said Adam Farkas, GFMAs Chief Executive. “This potential should not be ignored or prohibited where regulatory oversight and resiliency measures already exist.” According to the report, using distributed ledgers to streamline collateral processes in derivatives and lending markets could see an additional $100 billion saved. Additionally, utilizing smart contracts to automate and shore up processes of clearing and settlements could reduce overheads by $20 billion each year. Overall, the systems that stand to gain the most from implementing DLT at some level were clearing and