This news was announced by a report by the people of Reuters, exposing their plans to implement their Blockchain project. They explain that HSBC intends to move its current paper records to its Digital Vault platform by March 2020.
The objective of the project is to allow investors to track their assets in real time. The UK-based bank will specifically digitize its private placement records, allowing investors to quickly verify holdings.
In this way, HSBC, through real-time information on the Blockchain, seeks to speed up the market, breaking with dependence on paper. In addition, it particularly has the ideal of considerably reducing bureaucratic processes.
While the use of a blockchain platform is meant to save costs, HSBC "could not quantify the amount that could be saved for the bank or its customers," Reuters said.
An independent consultant, Windsor Holden, told Reuters that he does not expect savings to be announced before the second half of 2021, after the platform is deployed.
However, they cannot totally bet all their records on a new platform. For this reason, HSBC is only transferring 40 percent of its records to the Blockchain, according to the report. It should be noted that the bank has more than $ 50 billion in assets today.
In addition, it should be noted that this is not the first time HSBC experiments with Blockchain technology. This would explain why they are betting 40 percent, being an important figure.
The bank had experimented with Blockchain tools for more than a year or so before this announcement.
First in January, HSBC announced that it had liquidated about 3 million currency transactions using a Blockchain platform, making about $ 250 billion in transactions in the process. The sum included another 150,000 in payments.
In addition, according to the report, the bank also hinted at the use of Blockchain to digitize letters of credit in the past. Therefore, it is speculated that in the future a full credit platform will be released
