Blockchain in banking

According to the Federal Deposit Insurance Corporation (FIDC), in 2023, five banks failed - including Silicon Valley Bank whose deposits were transferred to Silicon Valley Bridge Bank. Whilst some banks’ demise was due to rising interest rates and declining commercial property values, for some, inefficiency, lack of transparency and security, and reluctance to the adoption of appropriate technology are the headwinds that led to an eventual collapse. Over the last 23 years, 566 banks have failed in the US - the highest numbers being in 2009 and 2010, with 140 and 157 respectively. The five banks previously mentioned that went under (the highest number in a single year since 2017) had combined assets of $548.7 billion, outpacing both 1984 Continental Illinois’s failure and 2008 Washington Mutual’s collapse.

Source: FIDC

Blockchain, a technology that provides speed, transparency, privacy and security, stands to relieve and revolutionize the banking system in the face of instability and dir…