ING Bank has announced that it is set to improve customer experience using blockchain technology and has trained intensely to achieve its goal.
The bank has been mixing together technology, innovation, customer needs, creative minds and a diverse team of mathematicians, cryptologists, economists and business experts to work on 27 proofs of concept in six business areas: payments, trade finance and working capital solutions, financial markets, bank treasury, lending, and compliance and identity.
One proof of concept developed by the bank, applied blockchain to the ‘know-your-customer’ process, which can be costly and time consuming. Working with 10 other banks, they showed it could simplify KYC so customers only have to submit identity documents once rather than each time they open a new account, for example in another country. This increases transparency, security and cost-efficiencies for banks.
For ING, 2016 was about experimentation and getting to know the technology: how it works, how can the bank use it and what the pitfalls and limitations are. This technology was not built for the financial industry; therefore, there are constraints and it does not always cover the bank’s requirements.