R3 Corda Blockchain's Marco Polo Trade Finance Solution Successfully Executes First Transactions

Marco Polo, a distributed ledger technology (DLT) based trade finance solution powered by R3's Corda blockchain, has completed its first transaction, according to reports published March 28, 2019.

Blockchain Technology has Real Use Case

Per sources close to the development, the Marco Polo facilitated transactions between two Germany-based firms: Voith and KSB SE.

Voith is a leading manufacturer of heavy-duty machines including turbines, generators and more, while KSB on the other hand, supplies pumps and valves to its clients across the globe.

With the Marco Polo solution, one of the parties was able to successfully transport special hydraulic couplings from Germany to China, while the other firm tracked the delivery of pumps within Germany.

Intermediaries Eliminated

Reportedly, the entities involved in the transaction were able to eliminate all form of third-parties, minimise costs and paperwork, while also delivering the goods in a more timely way with the blockchain solution.

Specifically, the Marco Polo blockchain solution took care of the order processing and delivery details, and once the goods got delivered at the exact destination, the relevant shipment information was entered into the system and it was “automatically matched with previously agreed data, triggering an irrevocable payment obligation on the part of the buyer's bank,” the team noted.

Once the smart contracts in the Marco Polo blockchain solution signalled a successful delivery of the goods, Commerzbank and Landesbank Baden-Wurttemberg (LBBW), founding members of Marco Polo, handled the payments side of things.

Commenting on the matter, Nikolaus Giesbert, a divisional member for trade finance and cash management at Commerzbank reiterated that the entire process goes a long way to prove that the nascent blockchain technology can provide clients with an efficient and frictionless means of transacting.

In his words:

“The transaction shows that DLT offers our customers a payment undertaking and state-of-the-art financing for trade transactions with both foreign nations and domestically.”

Also, Dr Christian Ricken, a member of the board of managing directors and head of capital market business and asset management/international business at LBBW, noted that the immutability and transparency features of blockchain technology could be highly beneficial to the trade finance ecosystem.

“DLT will potentially hasten up transactions, while also making it faster and more secure. Not only are we breaking new grounds in terms of innovative technology, but also the cooperation between financial institutions and businesses,” said Ricken.

Still in the Pipeline

Following the successful execution of its first real-life transaction, the Marco Polo team has hinted that they plan to execute trades with a direct connection to the client's enterprise resource planning (ERP) systems in the near future.

As reported by Bitcoin Exchange Guide earlier in March 2019, Deutsche Bank collaborated with Commerzbank to conduct a hugely successful blockchain settlement trial.

Since its creation in 2017 by R3 and TradeIX, the Marco Polo blockchain platform has attracted a considerable number of firms including, ING, BNP Paribas, Bangkok Bank, Standard Chartered Bank and a host of others.

Bitcoin, BCH, Ethereum, and Litecoin Price Prediction: Today's Top Crypto Forecast Analysis

Get Free Email Updates!

*Action* Enter Best Email to Get Trending Crypto News & Bitcoin Market Updates

I will never give away, trade or sell your email address. You can unsubscribe at any time.

Ogwu Emma
Ogwu Emma
Ogwu Osaemezu Emmanuel is a blockchain analyst with several years of experience in the cryptospace. He writes regularly for several leading cryptocurrency platforms

[Alert] Use the author's self-conducted information at your own risk, do you own research, never invest more than you are willing to lose.

[Disclosure] The published news and content on BitcoinExchangeGuide should never be used or taken as financial investment advice. Understand trading cryptocurrencies is a very high-risk activity which can result in significant losses. Editorial Policy \\ Investment Disclaimer


Please enter your comment!
Please enter your name here


Live Bitcoin Price & Latest BTC Charts

Today's Latest Crypto News

Here’s the Larger Trend that Will Continue to Persist in the Markets

Yesterday, the bitcoin price dropped by 6.6% as it went down to $11,150. Today, the prices went down even further only to make it...

Another Unaudited ‘Zero Value' Farming Token is Taking the DeFi World by Storm & Coins Flying

The cryptocurrency world has been much faster than the traditional world, and now the DeFi space is running at a quicker pace than...

DeFi-Focused Protocol, Chia Network, Raises Another $5M in Funding Round

Chia Network, a Layer 1 focused blockchain project, has raised another $5 million in a funding round led by Slow Ventures. This latest...

Coinbase Withdraws From Blockchain Association Shortly After Binance.US Joins

Coinbase withdraws from the blockchain lobbyist group a day after Binance.US, Binance’s American wing, joined the group. In a report first published by The...

U.S Banks and Big Tech Ask the OCC for More Clarification to Issue Crypto Services

The United States Office of the Comptroller of the Currency (OCC) has received over 90 responses from various stakeholders’ in the financial services sector...

BitcoinExchangeGuide is a hyper-active daily crypto news portal with care in cultivating the cryptocurrency culture with community contributors who help rewrite the bold future of blockchain finance. Subscribe on Google News, see the mission, authors, editorial links policy, investment disclaimer, privacy policy. Got News? Contact us, we are human too. Note: nothing here is financial advice, do your own research thoroughly.

Start Using Crypto Today