BBVA and Repsol Partner on New Blockchain Tech
Two major cryptocurrency companies based out of Madrid have announced their intention to partner on a distributed ledger pilot for applications within the growing financial sector. One a banking and one an energy firm, their partnership will represent a combination of technologies pioneered by the two organizations. BBVA and Repsol will work together on a revolving credit facility for use on a brand new distributed ledger technology.
The partnered technology is apparently modeled after the existing BBVA blockchain for loans. The company’s head of strategy outlined that the project is the latest move in the company’s movement towards the integration of disruptive financial products in the traditional corporate infrastructure.
The company was initially based in the traditional sector, but recent movements have led the organization down a path of distinct involvement in blockchain. In fact, the company’s CEO outlined in an interview with the Financial Times that blockchain provides “clear advantages” to many parts of the corporate loan market.
This represents a bit of a digression from the regular sentiment of many within the blockchain community. For quite some time, the industry has been primarily based in an anti-establishment and clearly libertarian-leaning philosophy. Consequently, integrations of the technology into existing financial structures is often looked down upon.
However, the work being done by Repsol with BBVA proves once again that companies interested in these applications are working to change the corporate sector—not to appease the ideologues of Bitcoin’s past.
Moving forward, many questions have yet to be answered regarding the new partnership. In the coming months, the financial industry will eagerly await more information from both organizations regarding the future of their combined efforts to change the financial loan system through integration of sophisticated blockchain technologies.