Although synonymous with cryptocurrencies like Bitcoin, blockchain’s disruption is continually expanding into new areas of finance, as well as the healthcare and real state.
Blockchain allows transfers without the need for authorization via middlemen. Plus, with this technology, banks don’t have to use resources to transfer funds.
This way, remittance fees can fall from 10% to 15% of the amount transferred to as low as 3%.
Every financial transaction requires an authority to validate it. (can be Visa or an investment bank)
Transactions on a blockchain are automatically validated as they are sent to all the nodes in the network for authentication. This removes the need for third parties, and so the cost of these transactions goes down.
Blockchain can provide liquidity options to the industrie. By digitizing and tokenizing assets, applied using blockchain, investors can buy a fractional interest rather than an entire asset.