Over 50 Companies Try the New Voltron Trade Finance App Built on R3’s Corda Blockchain
Over 50 other banks and companies participated in different tests of a new trade app called Voltron. Some of the institutions involved include ABN Amro, Standard Chartered and ING, among many others.
Voltron was developed by R3 using the Corda platform. The information was shared by the blockchain company R3 a few hours ago.
Institutions Try Finance App Voltron
Financial applications using blockchain technology continue to expand all over the world. This time, a group of over 50 different companies is trying an application developed by R3 called Voltron. The test included firms from 27 countries with the intention to simplify letter of credit transactions and deliver speedy settlement times, among other things.
The existing process is paper-based and also time-consuming. Thus, with Voltron, it was possible to process transactions in less than 24 hours compared to the 5-10 days that took with traditional transfers without Voltron.
According to R3, 96 percent of the trial participants concluded that the Voltron solution would help them improve the trade finance processes and also reduce transaction costs.
Denis Dodon, the head of innovations at Alfa Bank, one of the institutions that participated in the trial, commented:
“Everything is done in the same interface, which is connected to all the workflow participants, information is shared instantly, what will significantly expedite the transaction, optimizing working with documents, which could be rectified in an instant way should there be any discrepancies identified.”
Other banks that participated in these trials include Societe Generale, CommerzBank, Commercial Bank of Qatar, and many others.
R3 explained that the platform is much faster, reliable and cost-effective than older systems and methods. Additionally, Voltron offers a single and immutable record of a trade. At the same time, it brings the added benefits of a reduction in fraud risk.
The CEO of R3, David E. Ruter, says that the trial is a “step closer” to shaping the future of trade finance. He has also invited other institutions to participate and join the effort that these companies are currently doing.