Australia’s Royal Commission Into Misconduct in the Banking, Superannuation and Financial Services Industry (Banking Royal Commission for short) revealed a few rather concerning banking related misconducts in dire need of addressing. This high profile investigation was initiated in December 2017, and the report came in on February 6th, 2019. It unveils some rather shocking practices behind the banking scenes in the land down under.
Among the most eyebrow-raising practices that emerged was that for quite a while now, Australia’s major banks (NAB, ANZ, CBA, and Westpac) have been siphoning funds from their clients through fees without providing actual benefits in return. These fees were explained away through ill-defined bank statements, and they have largely been charged with no notification and in some cases charged to those who are no longer alive.
A solution proposed by the report involved introducing an oversight organisation charged with overseeing the people that watch over Australia’s banks. This hardly sounds like a sustainable solution and more like a temporary patch at best. After all, how long until these watcher watchers need a watcher of their own?
This occurrence serves as a great example of why the implementation of blockchain technology needs to happen in the financial sector. The corruption that’s been allowed to go on for as long as it did is a result of a system that has granted a single authority too much leeway to conduct its business as it sees fit, with little to stop it.
A blockchain-based cash transfer system needn’t worry about such issues.
The reason is manyfold. Firstly, the decentralised and peer-to-peer nature of a blockchain-based cash transfer system entirely removes the third party tyranny problem we see today. In addition, blockchain is made to be transparent, so any change in data happening becomes easily visible and trackable. And on top of all that, no funds may be moved without permission by the authorized parties.
With this in mind, there’s no doubt that the banking industry would immensely benefit from blockchain integration.
Blockchain is a massive industry disrupter, but the impact goes far beyond banking alone. The amazing infographic below will show you exactly what this revolutionary technology can do in a wide range of industries. From insurance to supply chain marketing and everything in between, you’ll find out just how much blockchain can change.
Infographic URL: https://bitfortune.net/blockchain-disruptions-infographic/