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Deutsche Bank, the German financial giant
joins blockchain network of JP Morgan, known by the name, Interbank Information
Network (IIN).

JP Morgan, the bank that headed the blockchain
project started in 2017 has garnered a network that includes 320 financial
institutions who will use the platform to exchange payments data worldwide with
Ethereum. The platform works on a mutual distributed ledger technology.

The head of payments, Takis Georgakopoulos,
JPMorgan, said that Deutsche Bank is the first of all large banks to have
entered into IIN. Deutsche Bank is touted to be the world’s largest dealer in
the clearing of payments in euro denominations.

“A
network that only has JPMorgan’s clients will have very big natural
limitations,” said Takis.

“It
would mean that all of these other smaller banks would still need to have
bifurcated procedures, what they do with JPMorgan and what they do with other
banks would still have to be different.”

“Having
Deutsche join — and hopefully Deutsche will be the first of several other large
banks — is going to help us drive towards ubiquity and ubiquity is a
prerequisite for the success of the network.”

IIN will help Deutsche Bank province high-end
client services, said Ole Matthiessen, head of cash management at the bank.
Matthiessen services the bank beginning March of 2019. He explains that the
bank is hoping for IIN to diminish the processing cost of difficult payments.

IIN works on JPMorgan’s Quorum platform that
can address the prime challenges the hover information sharing amongst banks
and expedite transactions for users. Quorum relies upon Ethereum, as recently
revealed by Vitalik Buterin, the platform’s co-founder, to be full like other
blockchain networks that decentralized apps employ.

JPMorgan plans to do 400 bank agreements by
2019 end along with releasing JPM Coin, its in-house cryptocurrency. Recently,
Jamie Dimon, CEO, JP Morgan showed optimistic views of Facebook’s Libra,
stating that the currency will in no way pose risks to banks too soon. Deutsche
Bank is also to meet Libra founders in Switzerland to talk over financial
risks.

The aim is to make payments quick and easy by
instant information delivery regarding the transfers to all the banks in the
chain.

Cash management remains the only source of
strength in global transactions for the bank after restructuring cuts from its
investment bank. Matthiessen has headed the cash management of the Deutsche
bank since March.

“Our
competitors are not just the other banks; it’s also new players in the market,
we need to become efficient enough to provide seamless real-time and digital
process,” Mr. Matthiessen said.

“It is definitely directionally a very important step for us because it will help drive satisfaction.”
https://cryptozine.xyz/deutsche-bank-enters-jpmorgans-blockchain-network/

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