The banking sector forms the backbone of any economy. With the technology innovations making way into the arena, the banking sector has been moving away from traditional methods. It has shown steady acceptance of modern age banking methods for the faster and more dependable outcome. On the other hand, blockchain technology has gained popularity on a large scale since its introduction in 2008. This development has presented the impending benefits of blockchain technology in the banking sector in terms of transparency and security.
Concerns Related to Present Day Banking
One of the primary aspects of the banking sector is security. Though in India, with more than 90 percent of the transactions are performed in cash, digital channels are increasingly popular nowadays. This has increased the scenario for cybercrime. Cyber attacks are prominent in recent times. The massive data breach of over 3 million debit and credit cards that occurred around 2 years back has shown the prominent security gaps in the banking segment. Another area of concern is the increased occurrence of fraudulent transactions. Reports and sources reveal that there has been approximately a 20 percent increase in bank fraud cases over the past five years.