The tech giants that already know everything about you, and now they want to be your banker, too. What could possibly go wrong?
The world’s banking payment system is going to be tokenized on a blockchain, according to the head of Goldman Sachs. In a discussion of Facebook’s new Libra cryptocurrency with the French news site Les Echo on June 28, Goldman Sachs CEO David Solomon said he finds the “principle interesting” and the fifth-largest American bank, does “extensive research on the concept of tokenization.”
The tech giants are coming for the banks. If there’s one message to be taken out of Facebook’s aggressive push into blockchain-based payments via its new cryptocurrency, libra, it’s that Facebook is now also a FinTech company.
If there’s one theory at the heart of Igor Pejic’s new book, “Blockchain Babel: The Crypto Craze and the Challenge to Business,” it is that when it comes to using blockchain technology to remake the banking business, neither the financial institutions looking to maintain their dominance nor the FinTech firms trying to topple them understand each other, or how much they need each other.