Four international banks have completed a live commercial paper transaction based on blockchain consortium R3’s Corda platform.
The transaction was implemented on the Corda-based Euro Debt Solution application developed by R3, with 德语 banking and financial services company Commerzbank, 法文 corporate and investment bank Natixis, and 荷兰人 financial services firm Rabobank as the participant.
In the course of transaction, Natixis reportedly issued 100,000 euro ($113,722) notional, while Rabobank acted as the incestor and ING as both dealer and escrow agent. Commerzbank developed the pilot framework, software and distributed ledger (DLT) network for the trade, and instructions on regulatory implications.
The banks have also developed a legal framework for the project in cooperation with external counsel Allen and Overy. Marnix Bruning, head of money market and central bank sales at ING reportedly said that the initiative “marks the start of building an improved DLT platform that enables direct settlement and reduces operational risk and costs at the same time.”
Launched in 2016, Corda is a decentralized platform based on the Ethereum blockchain, that is geared for use by financial institutions. Corda purportedly enables businesses to build interoperable blockchain networks that transact directly and privately.
Financial institutions around the world have been actively implementing blockchain technology into their operations. Yesterday, Cointelegraph 报道 这 Brazil’s largest private bank partnered with 英国 bank Standard Chartered to create a blockchain-based platform for small loans. The two parties successfully conducted a proof-of-concept for the platform based on R3XCHARXs Corda Connect.
Also this week, Saudi Arabian developmental institution the Islamic Development Bank Group (IsDB) 合作 with a Tunisian startup iFinTech Solutions to develop interbank blockchain tools. The new offerings will purportely improve Islamic financial institutions’ liquidity management and increase overall efficiency.