Two of Ireland`s “big four” banks are participating in a group formed to pilot domestic payments over an Ethereum-based blockchain in Ireland. Ulst
Two of Ireland`s “big four” banks are participating in a group formed to pilot domestic payments over an Ethereum-based blockchain in Ireland.
Ulster Bank, AIB, Permanent TSB and Deloitte have worked collaboratively on a pilot project that will reportedly explore new blockchain technology. The latter has set a goal to improve the speed, resilience and security of the domestic payment systems.
The initiative is known as Project GreenPay and will use technology developed in the UK by Royal Bank of Scotland, the parent company of Ulster Bank.
It has been trialed in Dogpatch Labs in Dublin as the banks passed payments between each other to test the performance, accuracy and stability of the bank transfers.
As Ciarán Coyle, chief administrative officer at Ulster Bank, explained, the initiative relies on RBS`s Emerald platform that can acknowledge payments in under 10 seconds, while handling huge volumes, noted the Irish online media.
Blockchain is said to automate the recording of ownership and transfer of value on a single, shared ledger, without the need of intermediaries or a central arbitrator. This makes it possible for transactions to be recorded in one place and agreed at the point of recording by consensus. It should be noted though that each block on the chain is permanent record that can`t be rewritten.
“We’re delighted to support that and further prove that blockchain can be used to better serve customers.”, Richard Crook, RBS’s head of innovation engineering, told Irish Times.
“When we saw that RBS had that capability, we decided to use the platform in the Republic. We looked at how we could prove it at an industry level and looked at doing collaboration at an industry level.”, commented Ciarán Coyle.
In the meantime, Ireland looks to establish itself as a leading financial technology hub in Europe. One of the “Big Four” accounting companies, Deloitte has also reportedly opened a new blockchain lab in Ireland`s capital, Dublin.