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R3 largest banking consortium refuses blockchain technology

R3CEV, the largest blockchain banking consortium, which includes Barclays, Credit Suisse, Bank of America, Citibank и HSBC, appears to have failed in its developments.

Over the past two years, various consortia and bank-funded blockchain startups raised billions of dollars to utilize blockchain technology in optimizing the global financial network. The vast majority of developers of actual cryptographic and open source projects such as Bitcoin and Monero have explicitly stated that the utilization of centralized blockchain networks isn’t efficient due to their severe security flaws.

More importantly, blockchain technology is not structured to handle millions of data sets and hundreds of millions of data points in real time. In fact, it is a restriction that does not give Bitcoin to grow as a digital currency. In a presentation about the R3 Corda, R3CEV engineers, developers and researchers stated: “No blockchain because we don’t need one,” admitting that the utilization and implementation of blockchain doesn’t fit their vision.

The global financial industry, network and ecosystem are in urgent need of an overhaul. This applies not only to banks, but also to banking activities of organizations.

R3CEV still maintains a development team, which is well acquainted with Bitcoin and blockchain technology. With it, the R3 consortium will be able to come up with a piece of software or financial network, which everyone is most in need. However, blockchain technology isn’t what the consortium needs because it is incompatible with bank standards.

In the upcoming months, the R3 Corda and the R3 development team will allocate its resources in developing a platform that is compliant and compatible with industry-standard protocols such as AMQP, JDBC and PKIX and fully meet all the requirements of the regulators.

Ever since its launch, the R3 consortium has emphasized the processing of massive volumes of data and maintenance of a transparent and immutable network of financial operations. After the consortium failed to commercialize blockchain or simply did not want to share transparency with its partners, they decided to move away from blockchain technology until it was too late.

Peter Todd, Bitcoin Core developer and well renowned cryptographer, consistently criticize the efficiency of R3 Corda, which has lost all good things in blockchain. He described it as “bitcoin without blockchain.”

However, the R3 consortium and its developers are now free to choose the software and technologies to use.

Source: coinspot.io

  • April 3, 2017 5:52 PM MSK
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