Blockchain technology has already garnered a lot of eyeballs in the year 2016, and the buzz seems to be only increasing with each passing day. The latest is, a group that includes more than seventy of the biggest financial institutions in the world has developed a blockchain platform named Corda. The code, which has the potential of becoming the industry standard for the nascent technology, will be available publicly.

For the ones, who are looking for a detailed understanding of the blockchain technology, here's a detailed post explaining what it is and where all the technology can be used.

R3 CEV, a famous New-York based financial technology company, is responsible for bringing the consortium together. The platform is being considered as the biggest shared effort yet among insurers, banks, fund managers and other players to focus on ways to make use of the blockchain technology in the global financial markets.

Originating in the digital currency bitcoin, Blockchain functions as a web-based system for transaction-processing and settlement. It is known to give birth to a “golden record” of any given data that is replicated automatically to all the involved parties in a secure network, doing away with the need for any third-party verification.

Banks all around the world are very optimistic about the blockchain technology as it can hep them save some significant amount of money by making majority of their operations more efficient, faster and a little more transparent. Hence, they are all involved in a kind of a race to make substantial use of the technology to create products that will have the potential of generating them new revenue. Apparently, almost a dozen patent applications have already been filed for blockchain technology-based products by some of the top lenders of the Wall Street.

According to R3, although they hope that Corda ends up becoming the industry standard, their main aim behind the platform was to provide firms with an opportunity to innovate and build products on top of it.

“If we have one platform with lots of products on top, then we get something that’s more like the internet, where we still get innovation but we can still communicate with each other," said James Carlyle, Chief engineer, R3, in a statement to Reuters.

On November 30, the platform's code will be contributed to the Linux Foundation lead Hyperledger project, which is a cross-industry project that will work towards advancing the blockchain technology by coming up with some common standards.

The Corda platform has been especially developed for the financial world, so as to take care of the processing of securities and derivatives and for payments. The platform makes use of the same technology as bitcoin, but unlike bitcoin it can restrict access to transaction data and is capable of handling more complex transactions.

[Top Image - Shutterstock]
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