Blockchain technology could knock billions off KYC/AML costs

The use of blockchain or distributed ledger technologies could lead to annual cost savings of US$6-8 billion in know-your-customer and anti-money laundering (KYC/AML) compliance costs according to a recent report.

The authors at BIS Research also say blockchain applications could lead to a per-year cost savings of US$30-40 billion across all trade finance operations.

Report highlights
Blockchain Technology in Financial Services Market – Analysis and Forecast: 2017 to 2026 focuses on several areas where financial institutions and blockchain technology providers could capitalise on reduced costs and increased benefits.

The report highlights the key driving and restraining forces for blockchain adoption and the role of leading market players involved in this emerging industry.

Cost savings
The authors estimate annual cost savings resulting from the use of technology in

KYC/AML operations will amount to US$6-8 billion, with blockchain implementation expected in 2018-2020.

Anticipated cost savings across the trade finance sector are US$30-40 billion and blockchain implementation is expected in 2017-2019.

The report, Blockchain Technology in Financial Services Market – Analysis and Forecast: 2017 to 2026, can be found here.



Categories: Trade Based Financial crimes News

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