Blockchain has several inherent features that address the various banking sector issues. Though Blockchain can disrupt the functioning of banks because of features that eliminate intermediaries, global regulations do not favor such a drastic step. This chapter discusses decentralization and distributed ledger features, immutability and tamper-resistance, security through cryptography, smart contracts and process automation, and transparency and auditability that help the current banking sector. A brief comparison of Blockchain technology and traditional banking systems is provided. The chapter discusses specific banking applications such as cross-border payments and remittances, trade financing, supply chain finance, know-your-customer (KYC), regulatory compliance, remittance, collateral management, and asset tokenization, where clear benefits can be derived. The chapter then discusses challenges and regulatory hurdles, and the future of Blockchain in banking. Overall, the technology solves existing problems and opens new opportunities for the banking sector. The discussion in the chapter benefits researchers, industry professionals, and regulators by helping them explore the technology and strengthen the technology infrastructure of the banking sector.