CEO of UBS: Blockchin is essential to the financial services industry

Sergio Armuti, Executive Director of the Swiss Financial Services "UBS Group", said Blukchen would be necessary for the financial services industry, in an interview with CNBC on U - 18 of New .

Ermotti explained that the basic technology of encrypted digital currencies would allow "the liberalization of resources to become more efficient." "It is a great way to allow us to ... reduce costs." Blocchin will also prove to be a transformational factor for the industry cost base within five to 10 years, he said, adding that prioritizing the application of the Blocchin technology would ensure that UPS remains competitive:

"Our industry will continue to be under pressure, in terms of gross margins. There is no doubt about that. The only way you can keep in touch is not just to have the power in terms of capital, but in terms of the products, the quality of your people, or the advice you give customers; you should also be able to price them correctly. "

UBS joined the Blocchin partnership called Batavia with IBM, Bank of Montreal, Kaixabank, Commerzbank and Ernst Group last fall. The project carried out its first pilot operation in April, which included the dispatch of cars from Germany to Spain and textiles to produce furniture from Austria to Spain.

While UPS was exploring the use of Blockchin in its work, the financial services giant remains skeptical about encrypted digital currencies . Earlier this month, UBS chairman Axel Weber said the bank would not offer its customers trading services at KFH or any other encrypted digital currency. Even Weber called for strict controls on digital currencies, saying that "[digital currency] is often not transparent and therefore vulnerable to abuse."