Enterprise Ethereum Alliance is a non-profit foundation created to develop the first blockchain open-ledger technology for banks. The foundation includes J.P. Morgan Chase & Co., Microsoft, Bank of New York Mellon Corp., Intel, and Banco Santander SA. The group is seeking to expand on J.P Morgan’s open-source software, Quorum, in order to eliminate the cost of third party transaction verification. The foundation is seeking to release a working version of the technology later this year.
At its core, the technology is being applied to the banking industry to reduce the cost of having third parties and middlemen oversee transactions. The consulting firm Accenture estimates that if this technology is successfully adopted, it could save some of the largest banks an average of $10 billion annually in costs by 2025. This alliance demonstrates that the interest in blockchain technology for banks is continuing to grow. While a working version of blockchain has yet to be established, the first bank to produce it will acquire a significant competitive advantage. In order to be successful, banks will need to create a blockchain platform that maintains protection over proprietary information in the distributed ledger.
Resource:
http://news.morningstar.com/all/dow-jones/technology/2017022811009/the-newest-bank-blockchain-will-this-be-the-breakthrough-update.aspx