The banks contend distributed ledger technology (DLT) makes it easier to coordinate trade finance deals. And the use of smart contracts can help parties comply with contractual obligations such as staged payments.
If they haven't already, card-issuing banks will soon receive a shock when the speed of PSD2's requirements becomes clear. Payments will have to happen faster, and the deadline to make that happen is fast approaching.
Financial institutions process hundreds of thousands of interbank payments per day on behalf of their clients, which can be revolutionized by blockchain, writes Angel Diaz, vice president of technology and advocacy for IBM Digital Business Group.