The blockchain and cryptocurrency market has been making waves during the COVID era with companies realizing that they need to look into disruptive technologies to make progress. This turn comes after progress in the decentralized industry that has made it possible for banks and other agencies to move capital quickly.
The world of virtual assets received another credibility boost when banking behemoth DBS joined the blockchain platform developed by China-based Ant Group. Ant has named the platform Trusple with an aim to facilitate trade and trade financing.
After DBS’s addition to the platform, the bank becomes the first Asian partner to join the roster which also includes major players such as Standard Chartered, Deutsche Bank, Citibank and BNP Paribas. According to DBS Head of Institutional Banking Tan Su Shan, the AntChain partnership was the institution’s first step to creating a decentralized ecosystem. Mr. Shan added that the bank was committed to SMEs and providing working capital to support their growth.
Being part of the blockchain provides members with more features other than just capital investment. Banks can use the platform to observe transaction trends and then determine the credit quality of the respective businesses. This opens up an entirely new way for institutions to provide competitive loans and waivers. Goods traded on the platform will be assured delivery which reduces the risk of late payments and allows suppliers to focus on other aspects of their business.
Analysts stated that small scale and medium scale businesses will benefit greatly from being a part of the blockchain system. Trusple will be a gateway for them to send over their goods across borders without the hassle of cross border trade laws hampering their growth. The platform will record the details of all the trades conducted which boosts the confidence and the reliance factor that users have on the setup. Ant blockchain officials have claimed that once the network takes off, it will add more members to its fold to usher in a new banking revolution.