Experts from Stellenbosch University claim that blockchain, as a revolutionary technology, is significantly changing established norms in the financial industry, and banks cannot ignore its influence.

The widespread adoption of blockchain could lead to significant changes in the financial sector, potentially redefining the role of financial intermediaries and eliminating intermediation in the existing financial system, according to experts, namely Dewald Smit and Jennifer Kidger.

According to Smith and Kidger, the possibility of eliminating intermediation poses a significant threat to participants in the banking sector if they do not actively adopt blockchain technology into their practices.

Experts note that several major global banks have already recognized the transformation potential brought by blockchain and are actively researching and implementing this technology. However, the main obstacle for banks remains the lack of clarity and legal certainty in the regulation of virtual assets. The current system of government regulation is focused only on physical assets and their movement, which cannot be easily adapted to the digital economy.

Previously, the Chairman of the Bank for International Settlements (BIS), Agustín Carstens, expressed the opinion that blockchain and central bank digital currencies (CBDCs) should play a key role in transforming international financial systems.