[2015-09-04] WSJ: UBS Developing Virtual Currency

[pitham1]

UBS Developing Virtual Currency as Financial Institutions Embrace Blockchain

http://blogs.wsj.com/cio/2015/09/04/the-morning-download-ubs-developing-virtual-currency-as-financial-institutions-embrace-blockchain/

UBS, the Swiss bank, is developing a prototype virtual currency based on blockchain, a sign that financial institutions could be on the cusp of a technology-driven wave of change. Unlike bitcoin, the UBS “utility settlement coin” would be linked to real-world currencies and central bank accounts, the Journal’s Anna Irrera reports.

CIO Oliver Bussmann says the coin could be the first building block in the widespread adoption of blockchain-based platforms in mainstream financial markets. The currency, being developed with London-based Clearmatics, could reduce settlement times, which currently take two to three days, to a matter of seconds, UBS and other banks believe.