HBSC who is India’s major player when it comes to banking on an international scale and all financial services and the reliance industries (RIL) has now come together to complete a transaction based on trade and finance. This agreement would be powered by the help of Blockchain technology.
The letter of credit which was powered by the Blockchain technology is popularly considered as one of the first of its kind in the country. These letters of credit are said to emanate from export pushed by RIL unto their client in the US Tricon Energy. One of the benefits this letter of credit holds is that it helps to reduce the cost which is spent in efforts to properly document this letter. This new innovation has the potential to improve the interactions which must be conducted during trade and exportation.
This new innovation has the potential to improve the interactions which must be conducted during trade and exportation.
This transaction between this two countries is set to be executed due to the invention of a bill of lading which is electronic in nature. This would be made possible through a platform which is popularly known as Bolero. This platform was first launched in 2016 and would ensure that bills of lading which are electronic in nature would be done successfully. It also serves to achieve the transfers of all titles to good through the use of digital technology which is powered by the Blockchain technology.
The joint head of financial matters in RIL in the person of Srikanth that this new use of Blockchain is an attempt to reduce the procedures which are necessary when documentation the exportation and importation of various goods and services. This aims to reduce the days from about seven to about just a single day.
It should be noted that a group of banking institutions in the UK made plans and established a new platform which is powered by Blockchain technology in order to address all the issues which arise from trading internationally. This new platform which is popularly known as the eTrade Connect is said to be able to minimize the time which is needed to confirm all applications made for the purpose of granting loans to just four hours.
It can be remembered that earlier this year, most people were reporting that HBSC was on their way to establish the first finance deal which would be powered through the use of the Blockchain technology. This transaction was meant to involve letters of credit for the agriculture corporation Cargill.
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