A subsidiary of technology and consultancy giant Infosys has launched a blockchain-based trade finance solution that includes letter of credit (L/C) management features.

Infosys Finacle, which is part of EdgeVerve Systems, says Finacle Trade Connect specifically targets banks looking for a blockchain-based trade finance solution.

Applicability

The solution is available for a range of functions, including L/Cs, bill collection, open account for trade and invoice financing.

Finacle Trade Connect aims to help digitise trade finance business processes by validating ownership, certifying documents and making payments. It works on a distributed, trusted and shared network.

Infosys Finacle has also launched a pilot trade finance network of eleven banks to trial the solution.

Benefits

The solution provides a shared picture to all parties in a transaction and enables efficient risk management, with flow of merchandise and information being visible to each party at the same time.

The developers claim the higher levels of automation, increased transparency and availability of real-time data will enable better decision making and open up new business avenues for both banks and corporates.

This article represents the views of the author and not necessarily those of the ICC or Coastline Solutions.