Blockchain technology is picking momentum, disrupting everything from how crowdfunding works to the way people perform online transactions. The banking sector has been severely impacted by what Blockchain technology can do to ease and speed up processes. The smartest industry players are well aware that they need to adapt; otherwise, they’ll get left behind. According to CB Insights, over 55% of global companies in different industries are currently researching, monitoring, and developing Blockchain-based solutions. However, the public resistance against cryptocurrencies and Blockchain from industry players in banking begs the fundamental question: Why are banks so afraid of a new technology with great potential? The short answer is “because … “.
The good news is, not everyone is afraid. Berlin-based banking platform solarisBank recently announced the launch of its proprietary “Blockchain Factory”. The goal of the project is to broaden its range of services, as well as to develop a regulatory and technological bridge between traditional banking and Blockchain technology. Chief Technology Officer, Peter Großkopf, emphasized:
“While we at solarisBank are part of the traditional paradigm, since we have a German banking license and are regulated by BaFin, we are still a tech company at our core. That means we are actively exploring options to help shape and support the emerging decentralized paradigm by enabling the pioneers that are building it.”
The Blockchain Factory is seriously looking at disrupting traditional banking
“solarisBank has been making contextual banking possible for over two years, integrating modern financial services via APIs to streamline accessibility to customers, and making services available at any time, from any place”, said CEO of solarisBank, Roland Folz. Blockchain Factory is the next strategic step towards a new banking sector powered by a disruptive technology with great potential when used wisely.
The Blockchain Factory was developed to provide banking services to enterprises whose business model is directly or indirectly linked to Blockchain technology or cryptocurrencies. One important service is the “Blockchain Company Account” made for the financial and banking side of Blockchain-based companies. To make buying and selling fiat currencies easier, the Factory’s second most important service is the “Automated Trust Account”, aimed at providing automated escrow services to international crypto marketplaces.
solariBank partners with VPE Bank
Asset management company, VPE Bank, is the first financial institution to join the solarisBank mission and vision with the Blockchain Factory. The partnership will enable institutional cryptocurrency trading, therefore proving to the world that bank accounts and crypto wallets can be merged and made to provide an integrated service package. By joining hands with solarisBank, VPE becomes Germany’s first bank to offer crypto trading possibilities. Großkopf additionally mentions that the fiat world won’t go anywhere anytime soon. However, the future is hybrid and Blockchain technology still needs to prove its worth. By acknowledging the disruptive power banks have, the ultimate goal of solariBank is to help reshape the future of banking.
Blockchain technology is making a huge impact in the German banking sector. Other big players are joining the revolution, such as Deutsche Bank AG and Commerzbank AG that recently partnered with software company R3 in the hopes of advancing banking technology with Blockchain. Meanwhile, Sowa Labs is looking to release an app called Bison, which is bound to become Germany’s major crypto app backed up by a stock exchange.
In Berlin, blockchain-based payment service provider Bitwala is looking to “empower people to exchange value like they exchange ideas”. The company is on a mission to disrupt banking as well with a business model that promises instant transactions at the lowest possible cost.