The Deloitte consulting firm, together with the Hong Kong Monetary Authority (HKMA) and the region's major banking institutions, have developed a proof of concept for commercial finance which, supported by distributed ledger technology, seeks to create a platform to make business operations simpler and safer.
The application of this technology seeks to generate safer and more efficient transactions by digitizing paper procedures and using smart contracts to reduce the risk of fraudulent transactions and duplicate financing. It also seeks to encourage innovation of new products in the industry and strengthen the region as a commercial financing center.
In addition to the mentioned companies, the project was supported by Bank of China, Bank of East Asia, Hang Seng Bank, Hong Kong and Shanghai Banking Corporation (HSBC) and Standard Chartered Bank.
The project has not only focused on transactions between buyers, sellers and logistics companies, but has also taken into account the legal, regulatory, governance and data security aspects of the use of the blockchain, according to the director of the HKMA, who affirmed that they will continue working with the banking industry to materialize the application of this proof of concept.
The consulting firm Deloitte has a team of blockchain technology of more than 800 professionals, distributed throughout 20 countries, which always seeks to develop solutions through distributed ledger technology. The firm has developed more than 30 prototypes related to this technology, ranging from sectors of the insurance business to management of investments and cross-border payments. With their Grid by Deloitte project they are looking to create a global network of laboratories working with blockchain.