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Emerging

Technology

Trends

Carmen Gay, Anadarko Petroleum

Alex Yang, Bank of America

TEXPO 2019

22

BLOCKCHAIN

Distributed

ledger

technology

(DLT)

BOTS

Robotics

AI

Artificial

Intelligence

APIAPIAPIAPI

Application

Programming

Interfaces

Em

erg

ing

Te

ch

no

log

y

The future, within reach

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What is an API?

Application Programming Interfaces (APIs) connect systems simply and quickly,

for access to data in real-time.

creates predictable and

reusable patterns

API defines

communication

parameters

API

Financial institution

information

An OPEN API framework allows corporates, their trusted service providers,

and banks to communicate in new ways and deliver business services and

capabilities outside of traditional banking channels.

Treasury Workstation

ERP System

FX or Investment Portal

44

Why APIs Matter

Benefits

Better Cash Forecasting

Immediate access to account balances and

transactional data helps improve visibility of all

currency positions.

Lower Costs

Some Corporates estimate cost of API integration

implementation and maintenance to be half that

of file integration

Increase Supplier Satisfaction

Real-time payment confirmation, auto

reconciliation and notifications of payment errors.

Opportunities

Global Standardization

Not all banking APIs look alike, but increased utilization

by corporates and third-parties will help create

congruent, global usage patterns.

Regulation vs. Competition

Banks and third-party technology providers often balance

regional regulatory mandates against global corporate

needs.

Openness vs. Control

Banks increase corporate adoption and reduce

complexity by making technical requirements openly

available while maintaining secure system access for

authorized and trusted third-parties.

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Payment Use Case

• Approve and release payment

data via standard processes

• Payment data Originates each

payment via digital Channels

Payment InitiationPayment InitiationPayment InitiationPayment Initiation

Payment Initiation API

Balances API

Transaction History API

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Example: Payment Initiation

Treasury team wants to

integrate payment initiation via

ERP system or treasury

workstation

CORPORATE

TREASURY

Treasury user authenticates to

CashPro, providing Bank with

ongoing access to ERP System

or treasury workstation for

released payment data

TOKEN

ACCESS

Ongoing access to ERP System

or treasury workstation for

both payment initiation data

and bank confirmation

AUTOMATED

CONNECTIVITYTreasury applications have a

broad range of alerts or

dashboard capabilities given a

systematic data integrator

INTEGRATED

DATA

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Reporting Use Case

Payment Initiation API

Balances API

Transaction History API

• Streaming current or previous

day balance reporting for cash

position and forecasting views

• Streaming current or previous

day transaction reporting for

reconcilement, posting, or

transaction posting confirmation

Account Account Account Account Transaction DataTransaction DataTransaction DataTransaction Data

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Treasury workstation monitors

current day cash position

throughout the day via API.

AUTOMATED

CONNECTIVITY

Treasurer authenticates to

CashPro, providing treasury

workstation ongoing access to

data.

TOKEN

ACCESS

Treasury team wants to

integrate with treasury

workstation to monitor

balances.

CORPORATE

TREASURY

Treasury applications have a

broad range of alerts or

dashboard capabilities given a

systematic data integrator

INTEGRATED

DATA

Example: Balance monitoring

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API CapabilitiesToday Future

Global

• Payment Origination

• Information Reporting

US Account Holders

• Real Time Payments

• Wires

• Zelle

• PayPal

• ACH

Treasury application integration

• APIs as components with Treasury

Workstations and ERP systems

Additional API capabilities

• Fraud prevention with beneficiary

and account validation

• Account and signer management

• FX trading and settlement

• Check management

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What is AI?

Artificial Intelligence (AI) includes several rapidly evolving technologies that

increasingly perform human-like functions, providing the ability to reinvent

everyday activities.

Robotics automation

Replicates the actions

of humans operating

computer systems in

order to run processes

Predictive analytics

Provides a best

assessment of future

possibilities and trends by

computing large data sets

Machine learning

Systems learn from data,

identify patterns and make

decisions with minimal

human intervention

Natural language

Ability to understand

text and voice with the

intent to retrieve or act

on information

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What is Blockchain?

Distributive Ledger Technology (DLT) is a

record of consensus maintained and

validated my multiple parties, or nodes.

Blockchain is a form of DLT comprised of

immutable, digitally recorded data stored

in packages called blocks.

Virtually any asset of value can be tracked and traded on a blockchain network

1010

How does Blockchain work?

Traditional process Blockchain process

Each participant has his own ledger

Relies on third parties for validation

Paper-intensive process

Single, shared ledger; tamper-evident

No third party – participants must

validate before transaction is added

Eliminates or reduces paper process

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1111

Why Blockchain?

Benefits

Business Collaboration

Greater transparency directly between

counterparties, reduced fraud exposure,

eliminates paper exchange

Lower Costs

Faster processing, increased control, direct

counterparty communication efficiency.

Reduces Risks

One single source of truth for exchange and

trading, based upon each participant agreeing on

each transaction.

Opportunities

Global Standardization

Consensus within industry specific applications to create

possibly regional or global settlement networks.

Proof of Concepts and Consortiums (PoCs)

Commercial and Corporate Letters of Credit

Natural Gas Settlement

DLT firms forming alliances between firms and regulators

Treasury Use Case

Real Time Payment clearing 24/7, Commercial and

Corporate Letters of Credit, Energy Trading and

Settlement