Citibank launched digital tokens
Banks are the ones who can use the technology for making payment services better and this is the reason why they find blockchain as a great technology for them to innovate their services. many banks in the past have used blockchain technology to simplify and strengthen their operations. Now Citibank has gone to the next level as they have launched their digital tokens on the blockchain and these tokens will be issued to their depositors.
This is a new type of system that bank has created and since blockchain technology will be involved it is going to be easy for the banks to manage it. any data that is recorded on the blockchain remains the same and alteration is not possible unless a major consensus is there. For any type of alteration, validation is needed and this is why keeping the information on the blockchain is safe and secure. I have observed that during the time of the bear market, there is more development and the same is happening now.
The token which has been launched by Citibank is not a cryptocurrency instead it is a digital token that will be issued to their depositors and they will be able to transfer it within branches of the bank. there is no need to have a wallet to keep this token and the bank has enabled some options within the existing infrastructure for the users to use.
it is like some amount of token will be issued to the depositors based on their deposits and using these tokens they will be able to transfer it across the branches. although this has been just launched more details are yet to come it looks exciting because now the bank has taken a different approach to offer the functionality of transferring funds. These tokens will also represent submodular value and accordingly will be distributed to the people who hold departures with the bank.
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