DBS, the Singapore-based multinational banking entity, and Standard Chartered have completed the proof-of-concept of their blockchain trade finance platform called the “Trade Finance Registry.”
It has been reported that the two entities developed the PoC in collaboration with 12 other banks on top of the blockchain platform of Singapore-headquartered company Dltledgers.
However, Dltledgers stated that the banks involved in the project now intend to launch the platform for commercial use by central banks around the globe.
The report said that while the platform will first be used by the Monetary Authority of Singapore, the entities involved in the project also plan to propose it to central banks from the United States, the United Kingdom, Thailand, the UAE, India, Hong Kong, Qatar, and Indonesia.
New blockchain trade finance platform by DBS and Standard Chartered will help central banks mitigate trade finance frauds. https://t.co/EGt767SpXT — Cointelegraph (@Cointelegraph) October 6, 2020
Backed by Enterprise Singapore, a government enterprise under the Ministry of Trade & Industry and the Association of Banks in Singapore, the trade finance platform is expected to help banks fight fraud in lending and commodity trade.
Samir Neji, the founder of Dltledgers, said that the platform uses the company’s blockchain-based TradeDoc Validation Registry to help banks detect fraud in real-time.
Also, DBS and Standard Chartered said in a statement that the pilot test helped reduce the chances of duplicate financing from different bank lenders for the same trade inventory.
Thus, they added that this will lead to greater trust and confidence among banks and traders.
Source: Cointelegraph