After a POC starting last September, R3 and TradeIX are now piloting their trade finance network, seeking to improve risk mitigation, receivables and payments finance using distributed ledger technology.
"The tests ING ran as part of the proof-of-concept enabled us to see the value this solution could deliver in three separate areas of trade financing. The technology ran fast and smoothly and the positive results showed us we are on the right track and ready to take the next step by entering into a pilot," said Ivar Wiersma, head of innovation at ING Wholesale Banking. Traditional paper processing across supply chain processes is a "significant burden" to businesses, according to Connie Leung, Microsoft's senior director and financial services business lead, Asia. "The industry has been looking for solutions to simplify and digitize trade, making supply chain ripe for the benefits of blockchain technology," she said.