Transformation of Asset Management Systems Through Blockchain

Abstract

The concept of blockchain is prevalent globally in today's times. It has shown remarkable growth and has shown a lot of achievement by executing systems of peer-to-peer cryptocurrency. The cryptocurrency was introduced in 2009 but created hype about digital currency around the world in 2017. Blockchain works on the concept of a “distributed ledger/database.” The transactions are recorded and replicated to all the participating parties chronologically. Blockchain has verified to be immutable and provides accountability, integrity, and quite a lot of confidentiality through a pair of private and public keys. Various sectors have started using blockchain due to its salient features. Asset management is also one of the areas where blockchain can reduce transaction costs, approval waiting time, and increase transparency. The complicated processes of asset management can be automated by unifying permissioned and permissionless blockchain. This chapter discusses how asset management firms can use blockchain opportunities to harness its benefits.