A group of banks in Europe declared that they had finished several cross-border trades through an IBM blockchain platform. The announcement which was made recently that live transactions made on We.Trade in the last 5 days among 10 companies were all blockchain powered and were between four partnering banks.
The banks wanted to boost trade efficiency cross-border monetary transactions. Developed on IBM’s Blockchain platform, We.Trade was recognized by Deutsche Bank, HSBC, KBC, Natixis, Nordea, Rabobank, Santander, Societe Generale and UniCredit, in a bid to boost the efficiency of cross-border financial transactions.
According to Societe Generale, the focus on SMEs within Europe enhanced transactions and empowered the platform to develop faster.
At the moment We.Trade is functioning in 11 countries from Europe. According to We. Talk’s COO Roberto Mancone the next phase of this platform will have members getting buy-in from other banks and their clients either from Europe or other countries.
Because of the effectiveness, reliability, and nature of Blockchain technology, blockchain platforms are becoming very famous among financial institutions and other administrations.
With Blockchain technology bank reconciliations are not obligatory in the procurement departments. More to that transactions between banks are also faster and more transparent. Chances of fraud are also abridged because an agreed transaction can only be upturned when all complicated parties agree.
Different banks all over the world are starting to embrace blockchain technology to improve services and products. At the same time, the technology may help other institutions to remain competitive in a very hard financial market.
Some well know companies have already launched blockchain platforms. A good example is Samsung which launched a blockchain platform of monitor it’s supplied across the world.
As reported by CoinDesk, many banks are doing a lot of research on where the technology can be used in the banking system.