US Banks Join Forces to Build a Blockchain of Their Own

Thirty-nine state bankers associations have united to establish a blockchain network strictly controlled by the industry. This collaboration, called the BankChain Alliance, is currently in the process of choosing a technology partner and aims to launch the network by 2027, according to a Tuesday press release. The primary objective of the alliance is to develop a blockchain system that will enable financial institutions of all sizes to offer smart payments, tokenized deposits, stablecoins, automated settlements, and other innovative banking features, as stated in the release.

Kimberly Askwith, CEO and founder of TEKfactor and a member of the BankChain Alliance's board, expressed pride in being part of this endeavor, crediting the collective efforts of all involved. The initiative's interim chair, Kathy Kraninger, president and CEO of the Florida Bankers Association, emphasized that the alliance will empower banks of all sizes to develop their future, stating that the network will provide a secure, regulated, and industry-owned platform for institutions to deliver modern banking capabilities and continue serving customers safely and efficiently across the country.

Chris Furlow, president and CEO of the Texas Bankers Association and a member of the BankChain Alliance's board, highlighted the alliance's ability to create a powerful network effect by bringing together state bankers associations, allowing Texas community banks and Main Street banks nationwide to participate in new financial technologies while prioritizing customer needs and local communities.