Indian Banking giant ICICI is moving ahead with their blockchain based trade Finance initiative.
The company has enlisted more than 250 corporates to undertake domestic and international trade finance transactions using ICICI’s blockchain platform. The inclusion of corporates comes in line with ICICI’s successful completion of blockchain based cross-border transaction for trade finance with Emirates NBD in 2016.
The Corporate firms signed up with the Bank to use their blockchain technology in cross-border remittance for the payments to domestic vendors, purchase of raw materials and even pay salaries to a group company employees.
Chanda Kochhar, managing director and CEO of ICICI is bullish on blockchain. In the company release, she said
“I envision that the emerging technology of blockchain holds an immense potential to simplify the document-intensive trade transactions by bringing all stakeholders on a single platform”
ICICI will also collaborate with peer banks and other partners to create a blockchain based ecosystem in the industry. The project simplifies the paper-intensive trade finance process by bringing
counter-parties on the same platform. The blockchain application will help participating banks view data for such transactions in real-time.
Buyers, sellers and other parties can also track documentation and asset authentication with the help of a series of encrypted and secure digital contracts.
Earlier this year, another Indian bank Yes Bank launched their Blockchain based enterprise finance platform. The RBI approved TReDS have started using a token-less Blockchain solution developed by MonetaGo.