One of the largest private banks in the Russian Federation made an important decision, by joining a blockchain trade finance network backed by HSBC. According to the official announcement, Alfa-Bank became a member of Contour. It is a blockchain platform connecting famous financial institutions, like HSBC, ING, and Citi.
It is worth mentioning that Alfa-Bank is the first Russian bank to join Contour. People should keep in mind that the network allows bank customers to track the processing and modification of trade finance transactions and cut operational costs. Interestingly, the goal of Contour-based pilots in the Russian market is to boost the quality of cross-border transactions.
Importantly, the accession to the Contour platform as well as the launch of the pilot projects on the Russian market will help to boost the strategy of development of products for transborder transactions. Interestingly, customer requests become more complex, and the bank is seeking to offer the best solutions.
Blockchain trade finance platform and famous banks
Interestingly, formerly known as “Voltron”, Contour is focused on the process of drafting and issuing letters of credit using R3’s Corda blockchain.
The history of a blockchain trade finance platform dates back to 2018 when R3 as well as eight global banks launched “Voltron.” Let’s have a look at the banks that took part in this process. The list is quite impressive, to say the least, as it includes HSBC, ING, Bangkok Bank, BNP Paribas, Standard Chartered, SEB, as well as CTBC.
It is worth noting that, the project dates back to 2018, the Contour network finally went live just last month. Two days ago, the Bangladesh branch of global banking firm HSBC made an important announcement. According to this announcement the completion of the country’s first blockchain-based letter of a credit transaction on Contour.
Importantly, Alfa-Bank’s entrance to the network marks another milestone for the project. The country, one of the largest private banks, is no stranger to blockchain technology. As a reminder, is a member of major blockchain consortium R3 since 2018.
Last year, the bank launched a pilot via R3’s Marco Polo network, to test cross-border payments between Russia and Germany. Moreover, in the past Alfa-Bank partnered with X5 Retail Group to launch a blockchain liquidity management service in Russia. As can be seen from the information mentioned earlier the bank is working hard to adapt to the ever-changing environment. Moreover, other banks in Russia should also pay more attention to Contour.
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