EdgeVerve, the products subsidiary of Infosys, has launched a new software platform that will be based on Blockchain, the underlying technology that powers virtual currency Bitcoin, at a time when traditional banks and financial services firms globally face unprecedented disruption from newer emerging areas of financial technology.
Blockchain-based software platforms typically allow banks to upgrade existing legacy technology systems and help increase efficiencies, security and accuracy of each transaction.
"Blockchain can offer significant opportunities to modernize legacy processes, reduce costs as well as improve operational efficiency and authenticity of transaction data. At EdgeVerve, we are making significant investments in this space that includes our research facility in Ireland and important financial industry partnerships. Several of the world's leading financial institutions are already collaborating with us to build blockchain powered banking applications and networks," said Andy Dey, president of customer and operations at EdgeVerve.
Infosys, which on Wednesday launched what it calls the EdgeVerve Blockchain Framework, is not the only large Indian IT firm that is currently scrambling to offer futuristic blockchain-powered solutions to customers - other rivals such as TCS, Cognizant and Wipro have also set up dedicated teams over the past 12 months to work on building such products.
For India's largest software firms, betting on futuristic areas of financial technology is even more important, given that large banks and financial services organizations such as Citigroup, Bank of America, Goldman Sachs and JPMorgan Chase are among the largest customers for India's $160-billion IT industry and contribute well over 40% of the sector's revenues.