There is a 'game changer' technology on Wall Street and people keep confusing it with bitcoin

Continue reading

Screen Shot 2016 03 04 at 4.21.58 PM

Autonomous Research

Blockchains are made up of distributed ledgers.

Wall Street banks are buzzing about blockchain.

Goldman Sachs says the technology "has the potential to redefine transactions" and can change "everything."

JPMorgan last month announced it was launching a trial project with the blockchain startup led by its former executive, Blythe Masters. Her company, Digital Asset Holdings, has secured funding from Goldman, Citi, ICAP, and a boatload of other financial firms.

If you're wondering what a blockchain actually is, or how its works, you're not alone. Autonomous Research, which calls the technology a "game changer," has released a report to answer all of your blockchain questions.

The important thing to understand is that it has nothing to do with bitcoin - at least for Wall Street's purposes. Blockchain is the technology behind bitcoin, but it has many other uses too.

Wall Street wants to use blockchains to simplify the way it processes transactions.

That may not sound very exciting, but if it works, it could eliminate back office jobs and costs. So it's worth paying attention to - especially if you're one of the thousands of people who work in bank back offices.

Here's how it works.

Follow Business Insider on

Comments ()

X
Sort By:
Be the first one to review.
We have sent you a verification email. To verify, just follow the link in the message