OP Financial Group takes steps towards future banking through joining international initiative on Blockchain technology

OP Financial Group
Press release
17 December 2015 16.00 pm. EET

OP Financial Group takes steps towards future banking through joining international initiative on Blockchain technology

OP has joined an international banking cooperation to harness the potential of Blockchain technology for faster and more efficient financial services. The aim of the cooperation is to establish common standards for using Blockchain, the same technology which is also behind bitcoin. For OP, joining the initiative is part of the transformation from a traditional financial services provider to a digital actor.

Many international banks have joined the cooperation hosted by tech company R3. Together with R3, the banks form a Distributed Ledger Group, which aims to explore how financial services providers can utilise the Blockchain technology. Distributed Ledger is another term for Blockchain.

"The idea behind Blockchain technology is to create a decentralised ledger, with the help of which transactions of currency, contracts and other immaterial is possible over the Internet. Blockchain has the potential to make transactions more efficient, faster and simpler since they are verified through a process of consensus without a middleman. In the future, the decentralised system makes it possible to e.g. transfer money to another bank within minutes instead of few days", summarises Kristian Luoma, Head of New Business Development, OP Financial Group.

"OP is taking leaps in transforming to a digital service provider. Joining R3 is another step in this process. This partnership is an exciting opportunity for us to dive deeper in to this potentially disruptive technology. We look forward to applying these technologies for the benefit of our customers in the forthcoming years", says Harri Nummela, Executive Vice President, Digital Business and Customer Experience, OP Financial Group.

R3

The R3 team is made up of financial industry veterans, technologists, and new tech entrepreneurs, bringing together expertise from electronic financial markets, cryptography and digital currencies. 

The banks involved in the project include Barclays, Bank of America, BBVA, BMO Bank of Montreal, BNP Paribas, BNY Mellon, CIBC, Commonwealth Bank of Australia, Citi, Commerzbank, Credit Suisse, Danske Bank, Deutsche Bank, J.P. Morgan, Goldman Sachs, HSBC, ING Bank, Intesa Sanpaolo, Macquarie Bank, Mitsubishi UFJ Financial Group, Mizuho Financial Group, Morgan Stanley, National Australia Bank, Natixis, Nomura, Nordea, Northern Trust, OP Financial Group, Scotiabank, State Street, Sumitomo Mitsui Banking Corporation, Royal Bank of Canada, Royal Bank of Scotland, SEB, Societe Generale, Toronto-Dominion Bank, UBS, UniCredit, U.S. Bancorp, Wells Fargo and Westpac Bank.