18 Jun 2018 Jane Whitmoore
UBS Group AG Praises the Blockchain Technology
In an interview on CNBC, Sergio Ermotti stated that blockchain technology would reshape the industry with its disruptiveness and importance at such a scale, as regulations changing did in the last ten years.
Mr. Ermotti sees the technology as a mandatory element for organizations to secure their active growth and lower operational and financial costs, like money transfers. Blockchain innovations can help companies manage their assets efficiently.
Despite last year’s statements Mark Haefele, Chief Investment Officer, who suggested that Bitcoin can be dangerous, USB sees blockchain's fast development as an opportunity now.
The company is currently partnering with IBM, Bank of Montreal (BMO), CaixaBank, Commerzbank and Erste Group —to develop Batavia – a truly global platform that aims to rewire international trade. The platform simplifies the complete trading processes through digital automatization in arrangement, security, and financing international transactions.
Mr. Ermotti highlighted the necessity and the key role of blockchain in storing data across multiple locations around the world. He expects further pressure on the industry concerning gross margin.
He added: "The only way you can stay relevant is not only by being strong in terms of capital, in terms of products, the quality of the people you have, advice you give to clients. You need also to be able to price it correctly.
The crypto industry already saw a number of successful partnerships in the financial industry. Businesses and experts are yet to see the production-ready solution by IBM and the five financial leaders in the world and evaluate its transformational effect.Blockchain UBS Group AG