Getting your Trinity Audio player ready...
One of the largest banks in the United States, Bank of America (BofA) (NASDAQ: BAC), is advancing its digital push by investing inartificial intelligence(AI) andblockchain, its latest report reveals.
The Bank of America Digital Transformation Strategies Report 2024delvesinto the bank’s innovation programs and digital transformation strategies, including investments and acquisitions in tech firms.
The report reveals that BofA has beenintegratingAI to digitally transform its front and back-office operations. One of the bank’s biggest successes has been Erica, its AI assistant. Erica debuted in 2018 as one of the first in its field; as AI has advanced, it has become more capable.
An October reportrevealedthat over 37 million BoFa clients had interacted with Erica over 1.5 billion times since its launch.
This year, the bank pledged to expand Erica’s capabilities “to provide personalized banking, investing, credit, and retirement-planning advice.”
BofA has also beenleveraging blockchain technology, the report states. It has been relying on a blockchain-powered platform offered by Paxos Trust Company, known as the Paxos Settlement Service, to cut down on the time it takes to settle a trade.
BofAstartedexperimenting with the blockchain platform in 2021, joining other global giants like Nomura Holdings (NASDAQ: NRSCF) and Credit Suisse (NASDAQ: CSGKF). Stock settlement has been dominated by the Depository Trust & Clearing Corp. for over 50 years. However, the organization only settles trades logged before 11 a.m. Any trade after the cut-off time is settled the next day.
BofA, the second-largest American bank after JPMorgan (NASDAQ: JPM), has been one of the financial world’s most prominent investors in blockchain. CEO Brian Moynihan revealed
last year that the bank hashundreds of blockchain patents. However, like its Wall Street peers, it’s cautious with new technology and has been engaging in pilots and trials.
AI and blockchain will be among the two technologies in which the bank will invest its$3.8 billioninnovation budget this year.
In order for artificial intelligence (AI) to work right within the law and thrive in the face of growing challenges, it needs to integrate an enterprise blockchain system that ensures data input quality and ownership—allowing it to keep data safe while also guaranteeing the immutability of data.Check out CoinGeek’s coverageon this emerging tech to learn morewhy Enterprise blockchain will be the backbone of AI.
Watch: Blockchain can bring accountability to AI
New to blockchain? Check out CoinGeek’s Blockchain for Beginners section, the ultimate resource guide to learn more about blockchain technology.
