• Days
  • Hours
  • Mins
  • Secs
  • Thu, 19 Sep 2019, 05:42 PM
  • All times are UTC
  • Edition:
    International
Copy link
Increase text size
Decrease text size
Link copied

Blockchain tech would have been the key to faster regulatory response in 2008 global financial crisis: CFTC official

Image Via Pensions&Investments

Wed, 05 Jun 2019, 03:49 am UTC

The chairman of the United States Commodity Futures Trading Commission (CFTC) J. Christopher Giancarlo believes blockchain technology would have made a difference to the regulators during the financial crash in 2008.

In his speech, entitled “The New Futurism: 21st Century Financial Markets, Technology and Regulation,” Giancarlo said that if regulators had blockchain technology at the time, they would have easily accessed the real-time ledgers of large Wall Street banks and all regulated trading participants instead of attempting to “assemble piecemeal data to recreate complex, individual trading portfolios.”

“In short, what a difference it would have made a decade ago if blockchain technology on a private distributed ledger accessible to regulators had been the informational foundation of Wall Street’s derivatives exposures,” he said, adding that the technology would have allowed a “far faster, better-informed, and more calibrated regulatory intervention.”

The chairman also pointed out that having access to real-time distributed ledgers (DLT) could have been beneficial for regulators. DLT could be yet further enhanced by executing modern cognitive computing capabilities to detect anomalies in “market-wide trade activity and diverging counterparty exposures” that signify an increased risk of bank failure.

In addition, Giancarlo also shared two studies that found that blockchain technology can contribute considerable savings. The first study estimated that DLT could lead to financial institutions saving as much as $20 billion by 2022 in infrastructures and yearly operational costs. Another study found blockchain can cut trading settlement costs and capital requirements by $16 billion (annually) and $120 billion, respectively.

Before concluding his speech, Giancarlo forecasted that DLT would have a “broad and lasting impact” on different financial applications including “payments, banking, securities settlement, title recording, cyber security and trade reporting and analysis.”

The outgoing CFTC chairman delivered his message at Commissione Nazionale per le Societa e la Borsa (CONSOB) in Rome, Italy, on June 3, 2019.

Vitas Vasiliauskas, the chairman of the Board of Bank of Lithuania and an official of the European Central Bank, also emphasized the benefits of central bank digital currencies while warning to take caution during his talk at the Reinventing Bretton Woods Committee conference in Washington, DC, last April 12.

<Copyright © TokenPost. All Rights Reserved. >

To leave a comment, please sign in.
More
  • Bitcoin (BTC) $10,072.80 (-1.49%)
  • Ethereum (ETH) $221.35 (+3.50%)
  • XRP (XRP) $0.303900 (-3.31%)
  • Bitcoin Cash (BCH) $317.57 (-2.95%)
  • Litecoin (LTC) $77.25 (-2.06%)
  • Bitcoin (BTC) $10,072.80 (-1.49%)
Sep 19, 2019 (Thursday)
12:27
Crypto Technicals: Major Cryptocurrency Support Resistance Levels
12:27
Crypto Technicals: Major Cryptocurrency Daily Technical Outlook
11:57
Chinese financial institutions increasingly adopting big data, blockchain and AI: Moody’s
10:50
Crypto Technicals: Monero fails to hold 200-DMA break, erases most of previous session's gains
10:16
North Korea reportedly in early stages of developing bitcoin-like national cryptocurrency
09:37
UAE’s Ministry of Health and Prevention rolls out blockchain-based system
09:17
PUBLISH’s native token ‘NEWS’ listed on CoinMarketCap
08:44
Craig Wright asks 30-day extension as he holds talks to settle $10B lawsuit
08:33
Crypto Technicals: Litecoin (LTC) flashing signs of weakness, bearish engulfing and overbought oscillators weigh
07:40
Germany adopts comprehensive blockchain strategy to block Facebook's cryptocurrency Libra
07:36
Litecoin Foundation selects Celsius Network as preferred interest bearing wallet
06:42
Turkey plans to create National Blockchain Infrastructure and regulatory sandbox
06:29
Crypto Technicals: ETH/USD retreats from 6-week highs at 217.49, close below 200-DMA to see further weakness
05:33
Tata Motors looks to collaborate with startups on blockchain-based solutions amid automotive sector slowdown
04:49
Cybersecurity startup GK8 scores $4M to conduct cryptocurrency transactions without connecting to the Internet
04:48
Crypto Technicals: Bitcoin turns bearish, slumps below $10,000 mark
03:56
SpaceChain wins €60K grant from European Space Agency for blockchain satellite wallet
03:52
Huobi launches fiat-to-cryptocurrency exchange in Argentina
Sep 18, 2019 (Wednesday)
04:56
Crypto exchange Binance.US to not launch in 13 U.S. states
04:29
VanEck, SolidX pull out bitcoin ETF proposal from SEC
Subscribe to the TokenPost newsletter!
Don't show me this again today.
Back to top
Copyright ⓒ TokenPost. All Rights Reserved.
PUBLISHsoft