European Central Bank plans to use blockchain technology in securities and payment settlement systems

The European Central Bank (ECB) has said it is investigating how to use blockchain technology.

The announcement was made in a new ECB research paper on how blockchain technology can be used in the region’s securities and payment settlement systems, and how it could improve them.

As part of this process, the ECB said it is looking at how blockchain applications could improve or hinder the infrastructure of these markets.

The report states:

“As part of its vision, the Eurosystem intends to assess the relevance of different services provided to the banking community (payments, securities settlement and collateral). This survey will identify the opportunities that these new technologies may offer, as well as the challenges they create.”

The ECB has talked about digital currencies in the past, describing them as “inherently unstable” in a report last March. But at the time, the ECB also acknowledged that blockchain technology could have an impact on its monetary policy.

However, recently ECB officials have generally become more open to digital currencies and blockchain technology.

At a banking conference in Paris last month, ECB executive board member Yves Mersch told attendees that innovative payment technologies such as blockchain have the potential to disrupt card payment systems and the broader financial system.

“Of these technologies, blockchain is probably the most well-known example and has the potential to have a profound impact on the entire financial ecosystem,” he said.

For the full original report, visit the Coin Library: http://8btc.com/doc-view-445.html

Original article: http://www.coindesk.com/european-central-bank-exploring-blockchain-tech-applications/
By Daniel Palmer
Compilation: Overnight porridge
Source (translation): Babbitt Information (http://www.8btc.com/european-central-bank)