Blockchain Potential (DLT)
Applied to financial processes and services
Operational simplification
DLT reduces / eliminates manual efforts required to perform reconciliation and resolve disputes.
Regulatory efficiency improvement
DLT enables real-time monitoring of financial activity between regulators and regulated entities
Counterparty risk reduction
DLT challenges the need to trust counterparties to fulfil obligations as agreements are codified and executed in a shared, immutable environment
Source: The future of financial infraestructure.
WORLD ECONOMIC FORUM
Clearing and settlement time reduction
DLT disintermediates third parties that support transaction verification / validation and accelerates settlement
Liquidity and capital improvement
DLT reduces locked-in capital and provides transparency into sourcing liquidity for assets
Fraud minimization
DLT enables asset provenance and full transaction history to be established within a single source of truth