Royal Bank of Canada (RBC) has revealed it is working on a new proof of concept (PoC) for distributed ledger-based remittances using technology offered by industry startup Ripple (XRP).
In plain English, this Canadian bank, along with scattered others is playing around with distributed ledger-based transactions. This virtual notion shouts the farewell to cash and invites a world where singular entities will have to fight hard to maintain a piece of financial intermediary.
Harsh reality; the concept of a virtual, and definitely more decentralised, financial world is not a squabble of IF’s and OR’s but rather that of WHEN’s and HOW’s. As a proud geek and custodian of digitalism I am contemplating on how we could the world of banking will integrate with this eventuality.
So, slapping on de Bono’s green hat of creativity and starting with end-in-mind, I imagine a world where customers seamlessly shift virtual currencies using banking and many other secure portals. I imagine an integration of banking apps being e-wallets, securely storing Bitcoins, Ripples, the other 20-odd virtual attempts, or whatever whiff the world presents next. It’s about banks grooming a horse strong and big enough to take on whatever cart is presented next.
Then, with my blue hat, I would think how banks can capitalise on such efforts by continuing the legacy of safe, secure, and digitally smart banking, presenting reasonable transaction fees as corroboration, thus underpinning kudos.
Now it is 30 minutes later and I’ve finished my lunch. After posting this opinion I will close the blog, open my loads of unread email messages, continue with my tasks and projects, and regrettably forget about this virtual paradigm crawling closer to our doorstep. I commend those who are first in the row of virtual celebrations, making the headlines of thinkers that were brave enough to take the risk and embrace the future.