R3, Banks, Fintech Startups Test Blockchain Platform for Syndicated Loans
A group of banks, the R3 blockchain consortium and Fintech startup Symbiont have created completed the trail of a proof of concept blockchain simulating an exchange of syndicated loans. An increasing number of financial instruments are being tested, successfully, for transfers and exchange on a blockchain platform and the latest industry endeavor puts the scanner on syndicated loans, an loan offering which sees a group of lenders – a syndicate – collectively lend to a single borrower. In an announcement today communicated to CCN, European bank Credit Suisse, a number of banks forming the....
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A syndicated loan exchange trial utilizing blockchain technology being undertaken by a group of banks alongside startups R3 and Symbiont is moving ahead. Announced during this week’s Sibos finance and technology conference in Geneva, Switzerland, the news sees the two startups, financial data provider Ipreo and Swiss financial services firm Credit Suisse (which organized the trial) completing the syndicated loan project's first phase. The test wasn’t limited to just those companies, however. R3 members BBVA, Danske Bank, Royal Bank of Scotland, Scotiabank, Société Générale, State Street,....
Since 2015, an increasing number of multi-billion-dollar financial institutions such as Goldman Sachs have exhibited their interest in emerging innovative financial technologies and startups. Several major banks and financial organizations have established various investment funds for fintech and blockchain startups, to research the application of fintech and blockchain technologies in the financial market. Blockchain technology focused startups have been the main attraction of these banks. According to the Outlier Ventures research team, there are over 1,000 blockchain startups in....
A group of South African banks have pushed ahead with plans to test blockchain applications in a partnership that has drawn support from key regulators in the country. As reported by local outlets IT Web and MoneyWeb, the project included teams from Standard Chartered, Absa, Rand Merchant Bank, Investec and Nedbank. Supporters of the initiative included the Financial Services Board, a major finance regulator; Strate, the country’s central securities depository; and the South African Reserve Bank. The institutions involved developed and tested a system for issuing syndicated loans via....
The financial services technologies (FinTech) industry has had over 45 venture capital investments, equivalent to US$3 billion in global ventures in 2013. Kantox reported that the number of deals in 2014 and 2015 is projected to hit around 60-70, as the global growth rate of the industry reaches a 26%. Moreover, Accenture’s “The Rise of Fintech: New York’s Opportunity for Tech Leadership” report on global investments in Fintech is expected to rise to US$8 billion by 2018 in wake of open-source software and cloud technology lowering the barriers to entry for startups. Many startups have....
Financial services giant Mizuho has announced a second blockchain technology trial to be focused on syndicated loans. Announced on 16th February, the project finds Mizuho uniting with other Japan-based companies, including Information Services International-Dentsu (ISID), blockchain startup Currency Port and Microsoft Japan Co, the local subsidiary of the US tech giant. ISID corporate communications officer Kayoko Lee said that the trial is still in early stages, as the partners seek first to "verify the applicability" of the technology to the post-trade process using Microsoft’s....