applied wherever there is a workflow in place, you can simplify workflows that are distributed between companies and within companies,” he says. “Our existing product range is about workflows and corporates working together, with decentralised storage, and all that points to using blockchain technology. So, we’re looking at our products and asking ‘how we can employ blockchain?‘.”
So what can blockchain deliver?
Making the link: DLT is a natural extension of the mutualised model
The lab’s young and diverse team works independently from SmartStream’s client contracts so that they avoid the distraction of day-to-day demands. And banking clients are invited to sit within the lab so that their own specific processes can be tested with real data. www.smartstream-stp.com
Indeed, it is the company’s clients who help determine what blockchain problems and solutions are examined – the lab has a clear focus on solving real-world issues. The lab’s chief innovation officer, Andreas Burner, says the beauty of blockchain is its inherent simplicity and security. “Because blockchain can be
Ultimately, a blockchain is a vehicle for sharing data. It allows multiple parties to work on a process and use the same data, but no one party owns that information – it is decentralised. SmartStream’s executive vice president of product management, Darryl Twiggs, explains: “Blockchain has some unique advantages. It’s immutable, so it’s non-editable, but it can contain permissions, meaning only certain parties can see particular information. “Importantly, it shares a single source of truth. Without blockchain, various parties may possess and process the same information in their own systems but come up with different results. This attribute of a single truth is exciting for banking because, in the middle and back office, banks will run a multitude of systems and external services, which is highly inefficient. For example, a simple foreign exchange payment involves multiple parties and systems and processing it takes up to three days, from inception to settlement. Blockchain allows us to radically re-engineer those operations so that it takes seconds, and everyone has visibility of the data.” Twiggs argues that blockchain’s power lies in its ability to streamline fractured processes, but that banks are yet to fully appreciate its potential, because they have only considered narrow use cases, such as interbank payments. FintechFinancepresentsSmartStream
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