Standard Chartered PLC, a banking and financial services firm based in London has successfully leveraged blockchain technology. On August 16, the firm was able to conduct its first blockchain trade transaction in Bangladesh. With this step by the firm, Bangladesh also became a part of the blockchain industry as it managed to come on the blockchain map.
Standard Chartered has issued a letter of credit for conducting this trade. The trade was between Viyellatex Ltd, a garment exporter, and Viyellatex Spinning. The trade took place using the blockchain network by Contour. This letter has been given by the firm to ensure that the payment from the buyer will be given to the seller on time. It could be considered as a letter of guarantee by the firm.
The complete transaction was paperless as it was completed digitally using the Contour’s network. This blockchain network has been developed on R3’s Corda blockchain and along with this, it also allows people to leverage the network. Through this, the traders are able to create and renew the trade data for a distributed digital trading experience.
The Contour blockchain network simply improves the data transparency and along with this it also reduces the friction in global trade and removes the complete administration cost. This type of facility works towards increasing efficiency while reducing costs. KM Rezaul Hasanat, CEO of Viyellatex Group has said that the “blockchain technology will certainly increase trading efficiency and reduce the turnaround time of the LC process.” The firm is extremely delighted to have collaborated with Standard Chartered bank. Along with this, Viyellatex Group has also said that it is aiming towards using revolutionary blockchain technology.