Deloitte opens Asia-Pacific blockchain lab in Hong Kong

Consultant Deloitte has officially unveiled its Asia-Pacific blockchain lab and chosen Hong Kong as its home. The lab is designed to implement and deploy distributed ledger technology (DLT) or blockchain-related projects for corporate clients, many of which are from the insurance sector. The opening of the lab follows Deloitte’s recent collaboration with the island’s financial watchdog, the Hong Kong Monetary Authority (HKMA) and five banks to promote the use of the blockchain in the trade finance market. Deloitte is hoping that its newly opened regional lab can encourage more collaboration within the financial services sector, not least the insurance market. It will provide shared workspace and office services for developers, freelancers and startups looking to establish their own blockchain-related services. It is the third such lab to be opened, following the labs opened in Dublin and New York. Hong Kong was chosen not just because of the HKMA project but also because of its burgeoning fintech community, the presence of so many international financial services companies and its status as a leading port for the region. According to comments reported by the South China Morning Post, Deloitte is considering a Hong Kong-based blockchain project aimed at marine services. Such a move would follow the recent launch of a marine insurance blockchain project by EY, software security firm Guardtime, shipping firm Møller-Maersk and several international insurers. In addition, Hong Kong is also the home of another blockchain-related project aimed at the insurance industry – irX – which is hoping to establish an online risk exchange for large corporates and insurers, built on a blockchain infrastructure. “Blockchain is disrupting, changing and improving transaction platforms and ecosystems, and our clients are at the centre of this transformation,” said Eric Piscini, Deloitte Global blockchain leader. “With a dedicated space, our unique business and technology expertise, as well as our growing ecosystem, we are now in a position to build the next generation of blockchain-based business platforms in this very innovative part of the world.” “DLT is no longer hype,” added Dr Paul Sin, the fintech partner leading the lab. “Most of the technical barriers of DLT, including performance, scalability, security and privacy limitations, are in the process of being addressed and will pose challenges in the months to come. Our clients are already moving towards production deployment. “Hong Kong is a perfect place to start deploying DLT, both as a financial hub and a key trading hub in Asia. With new developments in the Belt and Road strategy, DLT will become the platform of choice for cross-industry and cross-border collaborations.” The opening of the lab follows the publication of a report from Deloitte, which singles out the insurance industry as one set to benefit from the potential of technology, stating that it could transform the way it sells and manages policies. The report, Blockchain in Insurance, mentions how insurers are looking to apply the blockchain to “improve operating procedures and systems while enhancing the customer experience”. The report focuses on life and health insurers but as Joe Guastella, Deloitte Global consulting leader for financial services, told the South China Morning Post: “Insurance is going to see the most impact from blockchain, along with data analytics.” While blockchain can help facilitate the creation of a more secure and interoperable repository of health information for life and health insurers, corporate risk managers will be hoping that the various projects and labs dedicated to blockchain-based research can find a compelling case for using blockchain to improve the commercial insurance market.

Deloitte opens Asia-Pacific blockchain lab in Hong Kong

Want to read this article?

Read Next

Taiwan earthquake claims unlikely to cause capital event

Market softening could move towards rate cuts for downstream energy buyers

Q1 2024 records $20bn in nat cat losses: Gallagher Re

AM Best warns of insurers’ growing reserve risk

Litigation likely to flow from US ‘forever chemicals’ regulation

Taiwan earthquake claims unlikely to cause capital event

Market softening could move towards rate cuts for downstream energy buyers

Q1 2024 records $20bn in nat cat losses: Gallagher Re

AM Best warns of insurers’ growing reserve risk

Litigation likely to flow from US ‘forever chemicals’ regulation

Want to read this article?

Read Next

Taiwan earthquake claims unlikely to cause capital event

Market softening could move towards rate cuts for downstream energy buyers

Q1 2024 records $20bn in nat cat losses: Gallagher Re

AM Best warns of insurers’ growing reserve risk

Litigation likely to flow from US ‘forever chemicals’ regulation

Related Articles