Blockchain Proves to be Slower in German Central Bank Test

The Bundesbank along with Deutsche Boerse started a trial project with blockchain to transfer and settle securities and cash in 2016; the trial ended in late 2018 and the results show blockchain settlement was slower and more costly; Jens Weidmann, President of the Bundesbank, explains to Bloomberg, “The blockchain solutions did not fare better in every way: the process took a bit longer and resulted in relatively high computational costs. Similar experiences have been made elsewhere in the financial sector. Despite numerous tests of blockchain-based prototypes, a real breakthrough in application is missing so far.”; central banks around the world are beginning to conduct their own tests as they look to separate digital assets from the technology behind them. Source.