Earlier this week, blockchain-based platform from Chinese Internet company, Tencent, provided infrastructure for a supply chain financing transaction with international banking group, Standard Chartered and joint venture Digital Guangdong. This is the first time that the platform Linklogis has jointly delivered deep-tier supply chain financing with an international bank.
Today, Standard Chartered announced that they have executed a pilot transaction for PTT Group, PTT International Trading Pte Ltd and IRPC Public Company Limited with the first letter of Credit (LC) issued over the Voltron blockchain platform in the oil industry.
Traditional methods of Letter of Credit in the oil industry are paper-work intensive and usually require time and personnel to process, usually due to the cargo value.
The pilot involved a shipment from Thailand to Singapore and was all digitized on the Voltron blockchain providing end to end transaction services to all parties involved. The platform facilitated issuance, advising and negotiating of the LC and presentation documents. All parties involved were able to see real time updates and progress of transaction reduced at an estimated time of 12 hours.
Samuel Mathew, Global Head, Documentary Trade Product Management at Standard Chartered Bank said “this pilot transaction marks the first of many that will follow from our participation with Voltron to digitise trade and enhance the client journey… as our clients increasingly look to technology to address the challenges of today’s global trade environment, we are extremely optimistic and excited about the potential opportunities that Voltron brings to the industry with its demonstrated benefits in improved speed and reduced risks of settlement, as well as its flexibility in connecting banks, businesses and other third-party providers in its network.”
Source: Standard Chartered