In a monumental move for the British blockchain and banking industries the first ever Standard Chartered blockchain transaction to Vietnam has been completed. The cross bank Letter of Credit (LC) transaction was recorded between Vietnam and Thailand.
The hallmark of the transaction comes through the inclusion of Asian Development Bank (ADB). While the transaction was carried out between the Bank for Investment and Development of Vietnam and the Thai division of Standard Chartered Bank.
Per the reports, the LC transaction was initiated and completed by the Standard Chartered blockchain solution using the Contour network, an open platform bringing the traditional banking onto the decentralization bandwagon.
Standard Chartered blockchain solutions
The LC was opened for SCF Plastics based in the Thailand for the Vietnam based vendor Opec Plastics Joint Stock Company. The fast, secure and paperless nature of the blockchain based transactions is what brings the two companies onto the bandwagon.
The transaction is also monumental for global blockchain adoption. The completion of first Standard Chartered blockchain based transactions in Vietnam would enable more banks to get onto blockchain solutions. Digitization of banking is the need of the hour in the post-COVID-19 world, while blockchain based solutions is the fastest growing trend as it is.
This is not the first fintech move for Standard Chartered though. Last year the bank joined the Enterprise Ethereum Alliance in November, in order to promote blockchain research adoption. as one of the 450 members at that time.
Moreover, the bank was moving into FinTech area as early as February 2019. Standard Chartered blockchain solutions were highlighted through a MoU with the China based supply chain service provider Linklogis.
While earlier this year, Standard Chartered joined the Tradelens blockchain solutions in March 2020. Tradelens is a bockchain based shipping solution with over 150 global partners at that time.