Thirty-nine state bankers associations have formed an organization dedicated to creating a blockchain network that will be owned, designed and governed by the industry.
Dubbed the BankChain Alliance, the organization is in the process of selecting a technology partner and is targeting a 2027 launch, it said in a Tuesday (Aug. 25) press release.
The BankChain Alliance aims to design a blockchain network that will allow financial institutions of all sizes to provide smart payment tools, tokenized deposits, stablecoins, automated settlement and other emerging banking capabilities, according to the release.
It also plans to provide these innovations with the regulatory standards, security and trust that customers expect from banks, per the release.
Kathy Kraninger, interim chair of the BankChain Alliance and president and CEO of the Florida Bankers Association, said in the release that the organization will help banks of all sizes build their future.
“Through an unprecedented collaboration representing thousands of banks, BankChain Alliance is developing a secure, regulated, industry-built and industry-owned network that allows institutions of all sizes to provide modern capabilities so they can continue serving customers safely and efficiently in rural, urban and regional communities across the country,” Kraninger said.
Chris Furlow, president and CEO of the Texas Bankers Association and a member of the board of the BankChain Alliance, said in a Tuesday press release: “By bringing so many state bankers associations together, the Alliance uniquely creates a powerful network effect, giving Texas community banks and Main Street banks across the country a practical path to participate in new financial technologies while keeping the needs of their customers and local communities in focus.”
Kristy Merrill, president and CEO of the New Hampshire Bankers Association and interim board member of the BankChain Alliance, said in a Tuesday press release: “This initiative gives New Hampshire banks a meaningful voice in shaping the future of financial technology and an opportunity to help ensure these innovations benefit their customers and communities through an organization they know and trust, their local bank.”
Kimberly Askwith, CEO and founder of TEKfactor, which is a provider of services for mid-market financial institutions, and a member of the board of the BankChain Alliance, said in a Wednesday post on LinkedIn: “So proud to be part of this journey with this amazing group of people! Thanks to everyone who has gone above and beyond to get us here! Industry owned, designed & governed!”
