Dutch Bank Innovator Refuses Association with Bitcoin, Praises Blockchain

October 1, 2015 by
Dutch Bank Innovator Refuses Association with Bitcoin, Praises Blockchain

The director of ABN Amro’s innovation center shared his views on bitcoin during a recent interview, citing its limited potential in the fintech space.

Furthermore, Arjan van Os mentioned that the Dutch state-owned bank does not want to be associated with the digital currency.

“We want to prevent bitcoin’s poor image reflecting on what we do with the blockchain, it’s underlying technology. We see many opportunities [in the blockchain]. Bitcoin itself is outmoded,” said Os.

The reputation that he was referring to in the statement includes its prolific use in the black market for illegal transactions, drug trafficking and hacking services. Because of this, the bank has decided to take a more conservative position towards bitcoin.

The chief of innovation failed to clarify what it would take for the trending currency to gain acceptance from the company. While the decision was firm and direct, it seems that ABN Amro could change its mind in the future.

For now, the group is focused on the research and spread of blockchain technology. Like other financial institutions, such as UBS, Nasdaq and Wanxiang Group, the bank sees the digital ledger as a robust support system for a wide range of business transactions.

Os commented on the blockchain in a company blog post titled “The Next Best Thing”:

“[Blockchain technology] has been tested, it is proven that it works and is used. However, the degree to which it is applied is still limited … This is the time when we need to gather as much information as possible, should try all possibilities and should form networks of financial institutions, FinTech companies, start-ups and software experts … We must be prepared to assume a new role in the financial sector. The digital world is indeed constantly in motion.”

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