All eyes set on a new blockchain alliance which includes JPMorgan, Microsoft, Intel

All eyes are set on the new blockchain alliance which includes JPMorgan, Microsoft, Intel and other nearly dozen companies. All these companies are teamed up to develop standards and technology to make it easier for enterprises to use blockchain code Ethereum in the latest push by large firms to move toward distributed ledger systems.

The Enterprise Ethereum Alliance (EEA) is planning to work to enhance the privacy, security and scalability of the Ethereum blockchain, in a way making it better suited to business applications, as described by the companies included in it.

Some of the names of the companies included in it are Accenture Plc (ACN.N), Banco Santander (SAN.MC), BP Plc (BP.L), Credit Suisse Group AG (CSGN.S), UBS Group AG (UBSG.S), Banco Bilbao Vizcaya Argentaria (BBVA.MC), ING Groep NV (INGA.AS), Bank of New York Mellon Corp (BK.N) , Thomson Reuters Corp (TRI.TO) and startups ConsenSys and BlockApps.

The companies included in this alliance urge that it will help them streamline some of their processes, like the clearing and settling of financial securities.

The EEA has placed the enthusiasm around the nascent technology, while on the other hand it  highlights some of the hurdles that companies must still overcome before they can deploy blockchain on a large scale. One of the important things it includes is that it ensures that the technology can support the vast number of transactions processed by large corporations, while being secure enough to meet their stringent security standards.

The good thing is that, participate in the EEA do not have to pay a fee for now, like some other do. In past, Ethereum, a type of blockchain that can be used to develop decentralized applications, was invented by 23-year-old programer Vitalik Buterin, which is used by many of the banks to develop and test blockchain trading applications.

Alex Batlin of BNY Mellon, one of the companies on the EEA board, who serves as a global blockchain lead, stated that over the past few years banks and other enterprises have increased collaboration with the Ethereum development community, facilitating the creation of the EEA.