I am expecting my first child in a few months. Many people have told me about stem cell treatments and how storing my baby's cord blood is essential for that. I want to know what actually is stem cell treatment and how does my baby's umbilical cord play a role in it? What you are referring to is a process known as cord blood banking. In the 1970's scientists found that a baby's umbilical cord contained hemopoetic (blood forming) stem cells. These cells are capable of developing into three types of mature blood cells red blood cells white blood cells