IBM and Linux Foundation To Create Blockchain For Major Financial Institutions (thestack.com)

An anonymous reader writes: Following initial news of the project in March, IBM, under the supervision of the Linux Foundation and in partnership with several major tech interests including Fujitsu, has announced today that it will lead development of a new blockchain — a financial transaction ledger fashioned after the Bitcoin model. Provisionally called Open Ledger, the new initiative is aimed specifically at financial transactions, and though it will be open source in terms of development, but 'semi-private' in operation. Those with an interest in the project are said to include JP Morgan, Wells Fargo and the Bank of England. IBM VP Jerry Cuomo, who has discussed the project with Fortune and Wired, commented "The current blockchain is a great design pattern...Now, how do we make that real for business? What are the key attributes needed to make that happen? That's what this organization is about."

Comments

Re:Bitcoin is already "real for business"

[ShanghaiBill]

So if it's semi-private, it probably means regular people won't be able to mine, which means that corrupted banks will try to take over

No, that is not what this is about. This is not a takeover of bitcoin by the banks. This is about using a separate semi-private blockchain to verify non-bitcoin transactions. Currently, financial transactions, such as stock or bond sales, can take several days to clear, and involve significant transaction costs. By using a blockchain, these transactions could be verified in seconds, and at lower cost.

Re:They fail to see what's special about Bitcoin

[Zak3056]

ACH:
Cheap
slow
US only. (The Eurozone has something similar)

The Eurozone calls them "wire transfers" and they are not expensive--expensive wires are a US thing.

Whenever I explain that the US still largely runs on checks to my European and Chinese colleagues, they look at me like I have three heads. When I explain ACH to them (which still runs on checks) they think I'm either full of shit, or that the guys who designed our banking systems are fucking lunatics.