IBM Senior Vice President, Martin Schroeter, announced that IBM is currently running more internal blockchains than any other fintech or technology company in the world. In an interview on CNBC’s TV show “Mad Money,” Schroeter illustrated the importance of blockchain and cryptocurrencies in the tech industry. He explains how IBM’s increase of blockchain use was vital in order to compete with other companies in their industry and to maintain the trust and confidence of their customers.
Jim Cramer, the host of “Mad Money” insinuated that people think “I’ve gotta go with IBM because their history is to not give up information.” In response, Schroeter explained that one of the largest reasons people feel this way is because their clients are “assured architecturally that we can protect their financial data. Their data stays here, their insights remain their insights.” With IBM working on over 400 blockchain projects worldwide and with 60 active blockchain networks, it only makes sense that clients would feel secure with the architecture of IBM’s technology.
Why Blockchain Is Key For IBM
The reasons IBM’s use of blockchain has been so important to their company is:
- Security - The encryption in blockchains is key to protecting their clients' information
- Scale - The flexibility of blockchain security with large scale transactions is something IBM cannot do without in today’s tech world
- Tools - IBM’s software was able to build an ecosystem around blockchain to make it useful to their clients enterprises
The World's Most Secure Transaction System
According to Schroeter, IBM’s mainframe runs 75% to 80% of the world’s business. He called their mainframe “the world’s most scalable, most secure transaction processing system.” How? Cybersecurity through blockchain. “The thing the mainframe does better than anything else is encryption. All data encrypted all the time,” he stated.
IBM’s website explains that “Blockchain can do for business what the internet did for communication. Every second of every day, businesses exchange value with suppliers, partners, customers and others. By value, we mean goods, services, money, data and more. Each exchange of value is a transaction. Successful transactions need to be fast, precise and easily agreed on by parties participating in the transaction. Blockchain for business provides a way to execute many more of these transactions — a much better way.”
What This Means For IoT Dealers
Essentially, IBM is providing blockchain technology to companies who don't want to set it up on their own. This is an ideal solution for smaller companies with limited bandwidth. Now, when an IoT dealer has an interesting app or product solution, they can have it backed by a historically trusted company with the world's most secure transaction mainframe.