Norway: Local bank explores applications of IOTA Blockchain

The largest Norwegian financial services company, DNB ASA (Den Norske Bank), and the IOTA Foundation (IOTA) signed a memorandum of understanding to explore the applications of the Blockchain of IOTA, a third generation distributed distributed (DLT) registry.

A better understanding of Blockchain technology

 

"Blockchain technology is designed to handle hundreds of thousands of microtransactions per second. We will not abandon the market associated with the ecosystem that surrounds these transactions, "added Meholm.The partnership agreement was signed in the hope of finding viable business models for the DNB and the IOTA Foundation. The project has set itself the goal of to understand and grasp far and wide the Blockchain while allowing banks working with customers to multiply the opportunities of use. Lasse Meholm, the head of DLT at Norske Bank, said:

David Sonstebo, one of the founders of IOTA, suggested that this decision could ease the tense relationship between Norway's financial institutions and the cryptocurrency market.

I hope so and I believe it. The IOTA Foundation will help separate useless crypto-currency projects from more serious ones, he said.

Last month, a Norwegian cryptocurrency lost a lawsuit against Nordea Bank resulting in the closure of its bank account. In addition, the bank closed the account of another cryptocurrency exchange, Btmynt AS, due to concerns about the risk of money laundering.

Banks explore the potential of the Blockchain

DNB ASA is the largest bank in Norway and a Nordic leader in terms of market capitalization, which amounts to 238 billion dollars. She recently researched the use and application of Blockchain technology through the R3 consortium. Other projects of the financial institution are also being rolled out - notably with the Ethereum, Hyperledger and EOS.

There are many financial institutions around the world to explore the use of Blockchain. For example, the Canadian central bank, the TMX group,the Toronto Stock Exchange operator and Payments Canada- a non-profit organization - are busy studying Blockchain technology. The pilot projects of these companies have shown that the Blockchain is effective for instant settlements and securities processing.

What do you think of the steps taken by the largest Norwegian bank to explore the applications of IOTA Blockchain technology? Will the initiative of traditional enterprises to explore the large distributed register be generalized to the world? Tell us in the comments section below.