News Itaú, Wells Fargo and StanChart make $100m club loan...

Itaú, Wells Fargo and StanChart make $100m club loan on blockchain – FinTech Futures


- Advertisment -

Itaú Unibanco has borrowed $100 million through a club loan from Standard Chartered (SC) and Wells Fargo.

Itaú, Wells Fargo and StanChart make $100m club loan on blockchain – FinTech FuturesIn parallel Itaú Unibanco and SC have successfully concluded the development and testing of a blockchain club loan proof of concept (PoC) that expedites the negotiation of club loans using R3’s Corda Connect platform.

“The PoC demonstrated blockchain’s potential to reduce costs and gains in efficiency in the process of negotiation of the agreement and at other stages of the traditional transactions involving a Club Loan”, says Germana Cruz, head of financial institutions Latin America at Standard Chartered.

Through the blockchain PoC, the participants were able to monitor loan agreement revisions, comments and the sequence of approvals, as well as tack an audit every change before the deal was closed.

Test simulations were conducted across three stages: negotiation of terms and conditions, including the revision of the loan agreement; the signatory process, delivering what was agreed in the preceding stage; and the signing itself.

The banks say that negotiating an agreement through blockchain eliminates the exchange of e-mails, prevents version control issues of agreements and allows participants to ensure that conditions precedent are fulfilled in real time.



Please enter your comment!
Please enter your name here

Latest news

Blockchain, Bitcoin, and Mashed Potatoes

According to studies, over the next 5 years, many of the major supermarkets are expected to...

Different Facets of Biometric Authentication and How They Are Making A Difference in The Financial Sector

When we think of authentication in the true sense, then we find ourselves amid the different proven...

UNICEF’s 125 ETH Investment Took Less Than 20 Minutes and Cost Less Than $20

"The digital world is coming to us faster than we could have imagined," said UNICEF chief Chris...

Analysis: Is Bitcoin (BTC) Still Viewed As A Dark Web Currency?

There is a long past of Bitcoin (BTC) – due to its anonymity – being used in...
- Advertisement -Itaú, Wells Fargo and StanChart make $100m club loan on blockchain – FinTech Futures

A Beginner’s Guide to Day Trading Crypto

Much of the activity that comes from the crypto-space originates from the crypto-trading community. Buying and selling...

1/3 of Institutional Investors Have Cryptocurrency Placements

What the research by Fidelity Investments shows. In the US and Europe, 36% of...

Must read

- Advertisement -

You might also likeRELATED
Recommended to you