Barclays And Citi Testing IBM’s ‘Blockchain App Marketplace’

Tech giant IBM and forex settlement provider CLS are partnering to test a platform called LedgerConnect that will allow banks, software traders, and fintech firms to install, share and use the blockchain-based software. The platform was created by IBM in collaboration with Hyperledger. Barclays and Citi are amongst the banks testing the proof of concept (PoC).

LedgerConnect will operate as a blockchain marketplace for the financial sector, and it is hoped that it will boost innovation in the ecosystem. According to CLS’s chief strategy and development officer, Alan Marquard, LedgerConnect will provide safe and greater solutions which will reduce cost while eliminating risk.

This is possible because banks will have the opportunity to cut down on spending on technology and operations as they will be able to share services on a network instead of sharing resource to application development.

LedgerConnect will only be available to Hyperledger Fabric-specific applications through support for other technologies including R3’s Corda, Quorum, or even the public Ethereum blockchain might also have access in the future.

In a statement released by IBM it states, “Operating on a private permissioned network based on the IBM Blockchain Platform and Hyperledger Fabric technology, LedgerConnect will be designed for regulated and security-conscious enterprises and available across asset classes. Support for additional ledger technologies may be provided in the future, based on market demand and developments.”

According to the Armonk, New York-based IBM security and performance tests are being made on the blockchain apps prior to certification. Even though financial institutions will gain from a marketplace where they can access tested blockchain apps, traders, on the other hand, will have a platform on which to share their products.  This includes fintech startup including Synswap.