ChronoBank.io, the cryptocurrency company that is trying to change the short-term labor market, is aiming to launch an exchange early next year where buyers and sellers of different trades can trade skills for money and time.
According to a report in Forbes, the initiatives, which is being funded via crowdfunding, has attracted equal to 3,000 bitcoin of investments so far, with the crowdfunding raise set to end in February. Backers of the initiative include Edway Group Ltd., the Australian Government, GlaxoSmithKline, Royal Boskalis Westminster and the University of New South Wales as well as others.
ChronoBank.io wants to create a system for employers to access and rank potential employees. The idea, which came to light in summer 2016, has received $1.1 million in venture capital funding by AXL Strategic Partners. The idea is to disrupt the recruitment market, which ChronoBank.io contends is broken with middlemen charging high fees to put suitable job applicants in front of businesses. While that system works for businesses looking for full-time or long-term workers for contact and freelance work, it gets too costly for the employer.
While blockchain is still in its infancy, it is expected to disrupt and help many industries including the recruitment market. A recent McKinsey report identified dozens of potential use cases of the tool. Trade finance, for instance, could see up to $17 billion in new value by integrating blockchain, while cross-border B2B payments could see even more: up to an estimated $60 billion, the report found. Identify fraud and compliance management, like KYC and AML, are also high-value propositions for the tool. McKinsey isn’t the first to identify these potential use cases for blockchain, but the report concluded that one area in particular could benefit the most from the innovation — and it’s a sector not commonly cited by blockchain analysts: insurance.
“In insurance, blockchains have potential for impact across the entire value chain,” McKinsey declared. From product development through underwriting, pricing, payment and collections, claims, back-office functions, and risk capital, distributed ledger technology could have a hand in all phases of the insurance space.