HSBC targets Korean bank tie-ups for blockchain platform
It aims to launch the Voltron platform to rapidly streamline trade financing.
HSBC is aiming to forge ties with local Korean banks to commercially launch its blockchain-powered platform, Voltron, that’s designed to cut the time it takes to process trade finance requests, reports The Korea Times.
Also read: How Japan's megabanks will digitalise trade finance processes using blockchain
Currently in pilot stage, Voltron aims to streamline the paper-intensive and drawn out trade finance process where letters of credit are exchanged between importers, exports, banks and other industry players like shipping companies.
Through distributed ledger technology, Voltron can help reduce the processing time to 24 hours from as many as five to 10 business days. The technology also enhances transparency as multiple parties can view the whole process at the same time.
Also read: Hong Kong's blockchain-powered trade finance platform goes live
"I am here this week to reach out to Korean banks to collaborate on this blockchain platform for letters of credit,” Joshua Kroeker, HSBC's innovation director on blockchain told local media.
HSBC has partnerships with seven financial companies for Voltron including Bangkok Bank, BNP Paribas, CTBC Holding, ING, NatWest, SEB and Standard Chartered.