BBVA has closed a EUR75 million corporate loan deal with technology partner Indra, performing the complete process from negotiation to the signing of the loan over a mix of different public and private blockchain-based platforms.
The Spanish bank says the pilot transaction reduced the time taken to complete the deal from days to hours by recording and tracking interactions, reviews and iterations over an inhouse-developed digital ledger using the Hyperledger platform.
Once the contract was agreed, Ethereum’s public blockchain (testnet) was used to register the hash or unique identifier related to the transaction’s documentation, in this way guaranteeing the 'immutability' of the agreed contract.
BBVA’s global head of customer solutions, Derek White, says: “BBVA’s digital transformation continues to gather pace and reach into new areas, and this is a prime example of where disruptive technology can add real value to business processes. The use of blockchain in this transaction has greatly increased transparency and speed, while equally improving efficiency - it’s a win win for both us and Indra.”
A member of the R3 consortium, the Ethereum Enterprise Alliance and Hyperledger, BBVA is currently running several pilot projects to explore tha application of distributed ledger in multiple use cases across the bank.