Blockchain technology is becoming more and more popular in the financial industry. Banks are using it to make transactions faster, while also maintaining security. However, there are still some hurdles that need to be overcome before blockchain can become mainstream.
The security regulations for financial services are a solution to improve the speed of performance while maintaining security.
When it comes to financial markets, speed is a matter of life and death. Emerging local and global crises have the potential to significantly increase market volatility. This is why companies must be able to respond rapidly to changing market conditions. You’ve lost money if there’s even a millisecond’s delay.
Because they must safeguard their customers’ financial information, financial companies are unable to respond fast. However, you may now easily improve your performance without sacrificing security. Here are several options that provide both performance and security.
1) Networks with low latency
Secure Connections for Financial Markets | Financial Institutions Require Low Latency Connectivity When it comes to the transmission of financial data, delays and poor speeds may reduce a financial institution’s operational power. Due to latency, crucial financial choices may be made based on insufficient or obsolete data. As a result, the high-speed network will have minimal latency thanks to fiber optics.
Data may be sent at the speed of light using fiber optics. As a result, a huge data volume may flow at remarkable rates without delays at the same time, thanks to the use of multiple wavelengths. Fiber optic networks also enable for simple scaling up and down.
2) Infrastructure as a Service (Infrastructure as a Service)
In addition to a fast data transmission infrastructure, the apps used to interact with customers, analyze data, and perform transactions must also be effective and quick while maintaining the security of sensitive data.
A robust cloud computing infrastructure will guarantee that these apps operate smoothly and quickly, and that they satisfy the performance needs of the applications. High storage and increased input/output operations per second are provided via infrastructure as a service. Not only that, but it also guarantees high-availability computing, which improves customer satisfaction.
3) Cloud storage that is encrypted
It’s also critical to protect financial data while it’s not in use. Hackers that perpetrate theft and fraud often target financial information. Cloud storage, on the other hand, provides for secure storage of financial data.
It’s simpler to save data safely using encrypted cloud storage. The information may be encrypted and decoded as required. Using cloud storage from a reputable company will offer you with extra security levels and encryption.
4) Wavelength encryption
Because most encryption methods protect data at layer 2 or above, speed suffers the most. Not only that, but it also causes an increase in latency rates and a decrease in layer 1 performance speed.
This may squander time and is thus unacceptably inefficient in a financial organization. As a result, using encrypted wavelength not only protects data at the transport layer but also speeds up performance. Because of the reduced latency, rapid action is possible.
To sum it up
As financial institutions and consumers increasingly depend on digital and mobile banking, it is critical to develop methods to improve speed while maintaining data security. Many universities are experts in cloud computing and networking. Solutions for the banking sector include encrypted cloud storage, encrypted wavelength, and infrastructure, which enhance performance while preserving security.
The digital transformation in financial services 2020 is an article that discusses the solution to improve performance speed while maintaining security in financial institutions.
Related Tags
- bank technology spending 2020
- cyber security regulations, financial services
- security compliance for financial institutions
- banking security standards
- deloitte cyber security report 2020
