American business and financial services conglomerate, Moody’s Investors Service, has said that the much-discussed blockchain standards likely to be enacted by 2021 would be credit positive for future securitizations employing the technology.
The company added that standardization would go a long way in saving time and cost using blockchain’s salient features such as elimination of transaction parties, faster data availability, and automation. This will, in turn, foster benefits such as better interoperability and other operational efficiencies.
Frank Cerveny, VP-Senior Research Analyst at Moody’s said in a report:
“Standardization of blockchain technology would make its benefits more accessible for securitizations. Standardization would improve interoperability across systems and market participants, but also reduce counterparty concentration, operational and legal/regulatory risks for transactions that use blockchain technology.”
Improved interoperability between blockchains and the applications built on the same blockchain, alongside enhanced functionality between blockchains and legacy IT systems and the establishment of blockchain-based ecosystems are enough positives to look forward to. This will eventually reduce the lengthy and redundant reconciliation processes while replacing sequential actions with parallel execution.
BitcoinNews.com is committed to unbiased news and upholding journalistic codes of ethics. For more information please read our Editorial Policy here.
Follow BitcoinNews.com on Twitter: @bitcoinnewscom
Telegram Alerts from BitcoinNews.com: https://t.me/bconews
Image Courtesy: pixabay.com
The post Moody’s: Blockchain Standardization will Amplify Securitization Benefits appeared first on BitcoinNews.com.
from BitcoinNews.com RSS Feed
via TOday BItcoin New
0 Comments:
Post a Comment