Blockchain Brings Major Benefits To Payments Industry – TD Bank Survey Finds

Blockchain, News | February 7, 2019 By:

Blockchain technology will have some type of positive effect on the payments industry, according to a survey conducted by Toronto-Dominion Bank (TD Bank), one of Canada’s largest banks.

According to the survey, the risk of payments fraud/cybersecurity topped professionals’ list of concerns, with 44 percent naming it their top operational challenge, a 14 percent year-over-year increase. But 90% of respondents believe that blockchain and distributed ledger technology (DLT) will be positive for the payments industry.

29 percent said that the top impact of blockchain is its ability to create stronger audit trails, 22 percent said it will speed up the payments process, 21 percent said the technology will improve efficiency of cross-border payments, and 18 percent said it will reduce payments fraud. Survey respondents also said that their company has training strategies specifically for blockchain (14 percent).

Rick Burke, Head of Corporate Products and Services at TD Bank, said that blockchain technology has broad implications for the commercial payments space, from speeding up settlements to securing cross-border transactions.

“Even though much of the industry has a baseline understanding that blockchain can evolve and improve payments, the varied responses indicate that the technology’s specific capabilities and implications are still a great unknown for many finance professionals,” Burke said.