Blockchain Finance Unleashes the Power of Global Markets Through Worldwide Currencies
NEW YORK, July 11, 2018 /PRNewswire/ --
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Blockchain technology has the potential to transform the way the global economy works.
- Blockchain is the basis of the first global currencies.
- It can be used to remove barriers to international trade.
- By keeping all records on a single platform, it speeds up financial transactions.
- Ten years after their creation, blockchain currencies can be used on high streets through ATMs and apps.
One of the companies making blockchain payment accessible is Virtual Crypto Technologies, Inc. (OTC: VRCP) (VRCP Profile), whose ATM and point-of-sale systems are
user friendly and offer distinct advantages over their competitors. Lending facilitator LendingClub Corporation (NYSE: LC), which has already helped millions find the financing they need, is
looking at ways to incorporate blockchain into its systems. Point-of-sale specialist Worldpay Inc. Class A (NYSE: WP) is also experimenting with the addition of blockchain to its integrated
payment systems. Mobile payment company Square, Inc. (NYSE: SQ) is testing the integration of premier blockchain currency bitcoin into its technology. Broadridge Financial
Solutions, Inc. (NYSE: BR) has followed a successful pilot with the acquisition of a patent for proxy voting and repurchase agreements based on blockchain technology.
Blockchain's Potential for Financial Change
We live in a globalized economy, yet we don't have the tools for efficient globalized trade. Fractured information systems create delays in the completion of transactions. Without transparent, readily available information on cargoes, national customs barriers introduce delays to the transfer of goods. Even the currency historically used as legal tender to buy and sell products is localized national currency that has to be exchanged for other currencies as it travels the globe.
Blockchain promises a solution to this. Beneath all the buzzwords, blockchain is a distributed ledger system that maintains open records in which every change is visible to all involved. This transparency provides several benefits, among the most significant being the ability to provide financial services faster and more efficiently. Blockchain also provides confirmations of transactions without the time period required by traditional financial institutions, creating a pathway to greater global economic growth. The transparency provided by blockchain also allows information to be available to everyone involved in a transaction, from the purchaser to the port authorities. And by creating international currencies, secured through the transparency of ownership records, blockchain is creating a new medium through which to trade all around the world. This could be the answer to the needs of international commerce.
The shift towards this better way of doing business is led by companies such as Virtual Crypto Technologies Inc. (OTCQB:VRCP). As a technology company using blockchain to provide payment solutions, Virtual Crypto's work is all about smoothing out barriers that stand in the way of fast, efficient commerce.
For an example of the inefficiencies in traditional financial systems, look at the lack of immediacy in settling stock trades. Stock transactions can take less than a second to complete as people and computers forge agreements around the world. The prices listed on exchanges rise and fall in moments thanks to these near-instantaneous transactions.
But behind the scenes, the completion of such a deal can take days. For example, a company may initiate a financial transaction through a bank for payment to a manufacturer in China. Because each of the parties involved has individual ledgers, the transfer of funds can take days. Ledgers have to be compared and the ownership confirmed before anything can be transferred from one company or individual to another. Because there's no single shared record, inefficiencies appear.
The same is true for everyday payments on the high street. As someone swipes a bank card on a payment machine, it seems as if a payment is being made instantly. But the bank statement shows that payments take days to process, as banks check their own records, compare notes and finally transfer the value.
Virtual Crypto Technologies is removing those inefficiencies. Blockchain payments can be processed in seconds because its machine learning algorithm that analyzes all the records are shared on a distributed ledger. Virtual Crypto's payment system makes use of this to allow the reality, not just the appearance, of near-instantaneous payments.
Global Currency for Global Trade
The need for a global currency is increasingly recognized on a wide scale, and prominent figures such as the CEO of Twitter have spoken up for blockchain currencies as the answer. Though not all countries recognize blockchain cryptocurrencies, they are being used all over the world. People can buy and sell globally without having to go through banks. It's something that Virtual Crypto wants to make more accessible.
Using old-fashioned fiat currencies can be messy when payments need to cross international borders. The range of currencies and their fluctuating exchange rates make it hard to be sure what a deal will be worth when it closes. The process of exchanging currencies incurs fees and delays, both for individuals and for businesses.