Written by Joshua Kroeker, Venkatraman P, Sen Ganesh and Thomas Olsen.
In a recent report written in collaboration with Bain & Company, we look at how blockchain could revive documentary trade.
Previous attempts to digitalise documentary trade finance have fallen short because each project has focused only on a narrow slice of the entire paper-intensive process. Blockchain could address the current bottlenecks and may offer a number of benefits, including faster turnaround times, improved service levels, and a way for each participant to see all the steps involved from purchase order to payment.
Several potentially scalable blockchain platforms are becoming available, but to realise the technology's potential, industry participants will need to agree on networks with common standards and business rules.
For more insight download the HSBC | Bain & Company report
Joshua Kroeker is Director and Blockchain Lead at HSBC Commercial Banking. Venkatraman P is Director and Global Head of documentary trade at HSBC. Sen Ganesh and Thomas Olsen are partners with Bain & Company's Financial Services practice.
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