The CIMB Group, one of the biggest investment institutions in all of Asia, has just concluded its very first trade finance transactions through its branch in Singapore. According to reports, the transaction was carried out through a blockchain-powered Internet of Things (IoT) platform from iTrust Trading, a trade finance institution.
The CIMB hopes to continue using the platform from iTrust to make trade financing transactions as seamless as possible, improving efficiency, cutting down risks to the barest minimum, and also improving transparency so all parties to a transaction can properly monitor the entire transaction as well as cargo movement to and from its destination, in real-time.
According to CIMB Singapore CEO, Mak Lye Mun, the technology behind iTrust’s platform will also ensure that the chance of fraud is significantly reduced. If everyone can see the transaction and cargo movement and specific authorization is required at certain steps of the way, there is almost no chance that the process can be hijacked by people with illicit intentions. Mak Lye Mun has also noted that CIMB is interested in further collaboration with iTrust, for the possible use of its technology in other sectors than trade financing.
This is not the first time CIMB is implementing blockchain technology. Last year in November, CIMB Group Holdings, a division of the CIMB Group, signed up with Ripple to use XCurrent for its cross-border payment services.
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