Blockchain and Financial Market Innovation

By Rebecca Lewis, Former Analyst, Federal Reserve Bank of Chicago; John McPartland, Senior Policy Advisor, Federal Reserve Bank of Chicago; and Rajeev Ranjan, Senior Vice President, Citi and Former Policy Advisor, Federal Reserve Bank of Chicago

Blockchain technology is likely to be a key source of future financial market innovation. It allows for the creation of immutable records of transactions accessible by all participants in a network. This article provides a brief overview of what blockchain technology is, how it works, and some potential applications and challenges.