A recent report has revealed that some Chinese banks have successfully processed several million dollars worth of transactions via a blockchain platform. The blockchain platform was tested over a year and has successfully met expectations.
20 banks operating in the Chongqing city of China have processed more than $56 million worth of foreign trade transactions. For export trade financing in total, the blockchain platform has processed a whopping $460 million.
The platform has also significantly improved the effectiveness of the entire process. Parties to the transaction can authorize and verify documents and other information, via the platform. This makes it a lot cheaper and straightforward.
With the success of the platform, authorities now hope that blockchain technology will have a lot more use cases. This will significantly change the financial clime and help data sharing and digitization of financial information.
A news report states that in February, the platform was used in a $140,000 transaction for shipping masks to Hong Kong. Blockchain technology facilitated the verification of the tax filing form, speeding up the entire shipping process.
Earlier this month, the People’s Bank of China (PBoC) secured nearly $5 million in funding from the Chinese government, for developing a blockchain trade finance platform.