Categories: Ethereum

BBVA Issues $91 Million Loan Using Two Blockchains

Click here to view original web page at www.coindesk.com

Spanish banking giant BBVA has completed a pilot that issued a €75 million ($91 million) corporate loan using two different blockchain technologies.

According to a report from the Financial Times on Thursday, the bank's latest exploration of the technology focuses on the entire issuance process, including negotiation of terms and signing the corporate loan. The system used for the trial is based on both a private blockchain and the public ethereum network.

The report said that, as as a first step, the pilot requires both the borrower and the bank to start terms negotiation on a privately held distributed ledger that simultaneously updates the transaction's progress on both sides.

As such, BBVA claims the system can reduce the negotiation phase from "days to hours," following which the completed contracts are moved onto the ethereum blockchain for immutable record keeping, the report said.

The latest experiment expands BBVA's existing work in applying blockchain technology across a range of its business operations.

As previously reported by CoinDesk, the bank has already tested a blockchain solution for paperless trade transactions between Europe and Latin America. And in October of last year, it moved to use distributed ledger technology to match the foreign exchange between itself and its Mexican subsidiary.

BBVA is not, of course, the only established financial institution investigating the technology's potential to streamline loans transactions.

Recently another two European banking giants - Credit Suisse and Dutch bank ING - also announced the completion of a live $30 million securities lending transaction based on a blockchain application co-developed with enterprise blockchain consortium R3.

BBVA image via Shutterstock

The leader in blockchain news, CoinDesk is a media outlet that strives for the highest journalistic standards and abides by a strict set of editorial policies. CoinDesk is an independent operating subsidiary of Digital Currency Group, which invests in cryptocurrencies and blockchain startups.

According to a report from the Financial Times […]

cinerama

Illuminati, Mason, Anonymous I'll never tell. I can tell you this, global power is shifting and those who have the new intelligence are working to acquire this new force. You matter naught except to yourself, therefore prepare for the least expected and make your place in the new world order.

Disqus Comments Loading...
Share
Published by
cinerama

Recent Posts

Should You Use MST Gift Cards at US Casinos?

US-facing online casinos don’t exactly feature a robust selection of deposit methods. Most gaming sites only offer a couple of… Read More

23 mins ago

Bitcoin {BTC} the reigning asset: Why Gold Barons and Value Investors constantly shun the king coin

Warren Buffett is a popular investor who was once one of the richest men in the world. He has claimed… Read More

23 mins ago

Bitcoin’s Bull Run Could Be Just Getting Started—Here’s Why

Bitcoin has soared so far this year, with the bitcoin price rising more than 200% since the beginning of the… Read More

24 mins ago

Late Hal Finney Predicted $10 Million Per BTC After Satoshi Release

Although some Bitcoin critics will spite anyone who believes that the cryptocurrency will be worth more than 1000× its current… Read More

6 hours ago

Bitcoin {BTC} adoption: Booking.com chief as well as U.K. Central Bank leader are optimistic about virtual currencies

Bitcoin is placed right at the top of the market, with the BTC dominance rate currently at 68.7%. The trading… Read More

6 hours ago

Top Pro Athletes Like Messi Would Make a Killing in Bitcoin Earnings

According to Messari research, Lionel Messi's take-home pay would be "12,700 $BTC" annually. Cristiano Ronaldo's would be 10,000 bitcoins. |… Read More

6 hours ago

This website uses cookies. We use these cookies to collect data about your interaction with our website for the purpose of continuously improving your experience with our site. For more information we encourage you to read our privacy policy.

Read More