19 August 2017
visit www.avoka.com

KBank to process Letters of Guarantee over distributed ledger framework

08 August 2017  |  6006 views  |  0 Numbers

Thailand's Kasikorn Bank says that by 2018 it wants to process at least one-in-twenty electronic Letters of Guarantee in its corporate credit business over a new distributed ledger platform developed in concert with IBM

The bank began working with IBM in November last year to create a blockchain business network which will allow credit requestors, credit beneficiaries and KBank to fast-track traditionally lengthy procedures such as Letters of Guarantee for clients.

Built on Hyperledger Fabric, the platform hass been tested in the Bank of Thailand’s regulatory sandbox and built to be able to scale up to meet an expected increase in Letters of Guarantee issuance through electronic channels.

Letters of Guarantee issued via the commercial banking system in Thailand are expected to reach over $40 billion, increasing by eight percent in 2017. Of that total, approximately $9 billion will be issued by KBank, which has the largest share of the market at 25%.

Pipit Aneaknithi, president of KBank says it is targeting an increase in Letter of Guarantee issuance via electronic channel to 35% by the 2018 year-end, five percent of which will be processed via the blockchain.

He adds that the bank aims to bring other banks onboard to participate in the shared ledger framework.

Comments: (0)

Comment on this story (membership required)

Finextra news in your inbox

For Finextra's free daily newsletter, breaking news flashes and weekly jobs board: sign up now

Related stories

ANZ and Westpac put bank guarantees on the distributed ledger

ANZ and Westpac put bank guarantees on the distributed ledger

10 July 2017  |  9392 views  |  1 comments | 9 tweets | 16 linkedin
Kasikorn Bank opens $30 million fintech war chest

Kasikorn Bank opens $30 million fintech war chest

07 June 2017  |  5849 views  |  0 comments | 5 tweets | 5 linkedin
Thailand's KBank and IBM team on blockchain project

Thailand's KBank and IBM team on blockchain project

11 November 2016  |  7842 views  |  0 comments | 11 tweets | 10 linkedin

Related company news

 

Related blogs

Create a blog about this story (membership required)
download the paper nowvisit www.dorsum.euvisit www.worldpaymentsreport.com

Top topics

Most viewed Most shared
Mobile contactless spending accelerating in UKMobile contactless spending accelerating i...
8153 views comments | 22 tweets | 23 linkedin
Norwegian banks and startups form fintech clusterNorwegian banks and startups form fintech...
7457 views comments | 19 tweets | 23 linkedin
RBS to bring Silicon Valley to EdinburghRBS to bring Silicon Valley to Edinburgh
6402 views comments | 10 tweets | 7 linkedin
hands typing furiouslyWhy Blockchain Might Not Be The Future For...
6155 views 1 | 5 tweets | 3 linkedin
Apple sidelined as Beijing transit system launches payments appApple sidelined as Beijing transit system...
6004 views comments | 11 tweets | 9 linkedin

Featured job

Find your next job