Several global banks including Santander and UBS are conducting real-world trials using blockchain technology for international cross-border payments, a move that could make the process faster and cheaper.
Santander, UniCredit, UBS, ReiseBank, CIBC, National Bank of Abu Dhabi (NBAD), and ATB Financial, are using technology provided by U.S. start-up Ripple to test use cases for blockchain in the real world. They are among the first banks to trial real-world use cases. So far, many tests have been done in-house at a number of large institutions.
Blockchain works like a huge, decentralized ledger for the digital currency bitcoin which records every transaction and stores this information on a global network so it cannot be tampered with. It's this technology that banks feel can be utilized in areas from remittances to securities exchanges.