Signature Bank Reports 15% Transaction Volume Surge with Its Ethereum-Based Signet Blockchain Solution
Signature Bank (SBNY: NASDAQ), a New York-based full-service commercial bank, announced that the private beta launch of Signet, its Ethereum-powered distributed ledger technology (DLT) payments solution enabled it to increase its transaction volume by 15 percent, reports Forbes on June 24, 2020.
Seamless Payments with Blockchain Technology
In a bid to overcome some of the pain points of the traditional banking system and offer frictionless payments services to is clients, Signature Bank, a New York-based financial institution established in 2001, has turned to blockchain technology.
Per sources close to the matter, Signature Bank rolled out the private beta of its blockchain-based digital payments platform, in collaboration with Fireblocks, a digital asset transfer network for institutional investors.
Dubbed Signet, Signature Bank’s blockchain solution is powered by a permissioned version of the Ethereum smart contracts network, and it’s designed to help clients to make payments in real-time, without third-party interference.
Specifically, the firm has made it clear that the Signet solution makes it possible for any of its clients to move cryptos and fiat currency between accounts in a superfast manner, on a 24/7/365 basis.
Increased Trading Volume
Commenting on the roll-out of the solution, Michael Shaulov, CEO and co-founder of Fireblocks reiterated that the private beta launch of Signet boosted the bank’s transaction volume by as much as 15 percent, adding “I believe this new service will help increase trading between fiat currency, stablecoins, and other digital securities.”
What’s more, the team says the integration of Signet with Fireblocks will provide Signature Bank clients with more capital efficiency and security when carrying out crypto payments and settlements.
Joseph DePaolo, President and Chief Executive Officer at Signature Bank said the new solution will increase the productivity and performance of users.
“The integration with Fireblocks will offer enhanced services to our clients. As the digital needs of our clients continue to evolve and the broader adoption of asset tokenization increases, Signet APIs will enable us to help our clients deliver better business performance and improved operations.”
As reported by BTCManager in December 2018, Signature Bank made history as the first commercial bank to get its blockchain solution approved by the New York Department of Financial Services (NYDFS).
It’s worth noting that a good number of leading financial institutions, from Jamie Dimon’s JPMorgan to Thailand’s Siam Commercial Bank down to the Bank of Lithuania and several others, are now integrating blockchain technology into their processes for cost-efficient payment processing and increased productivity.