KANALCOIN NEWS – China, specifically the city of Qingdao, has just made history after they claimed to have succeeded in creating a cross-regional payment system using blockchain technology. Several parties associated with the project applauded the decision to implement blockchain technology in Qingdao city’s banking system. Many even believe that this moment could be the start of massive blockchain adoption throughout the rest of China.
What’s more, financial transactions that have been successfully carried out using this technology are not only local transactions, but transactions across regions, even across countries. Several local companies in Qingdao claim that they have used the technology to make various transactions with other companies in other countries such as India and Mexico.
Utilization of the Blockchain System
One of the focuses of utilizing the blockchain system in the project is to shorten the procedures and time needed to carry out a transaction. Some of the procedures that can be cut by using this technology include processes for verifying credit information and giving approval for loan applications.
In fact, the blockchain streamlines the entire procedure so that it can all be completed in a matter of minutes. This is of course a very encouraging thing for business people, especially those who want to apply for a loan from a bank. Previously, all of these procedures could take hours or even days to complete.
Of course, the efficiency and transparency promised by blockchain technology is a breath of fresh air for industry players, especially those who are currently confused with so many processes that must be passed to do something. Therefore, the success of the project in Qingdao certainly gives new hope that there is a way to make all these processes much more efficient.
After the success of the project in Qingdao, it is almost certain that other projects involving the use of blockchain technology will follow soon. This is because many parties claim to be satisfied with the application of this technology, so it is not impossible that the use of blockchain will become a new standard for information storage systems in various other industries.
So far, there have been around 37 local companies in Qingdao that have benefited from the blockchain program. Because of this success, the city government has planned to apply this technology to several other banks. In fact, they have communicated with several related parties regarding the possibility of making a deal with a foreign party.
And, it is not impossible that what was done by the city government of Qingdao will be followed by the governments of other cities. One thing is certain, blockchain has a bright future as an alternative to transparent and efficient data recording systems.