HSBC, Bank of America Merrill Lynch and the Infocomm Development Authority of Singapore have digitised letters of credit transactions using the Hyperledger Project's blockchain technology. This blockchain system mimics a paper-based letters of credit transaction in which information is shared between importers, exporters and their banks using a private distributed ledger. The project has been developed by IBM to help businesses manage payments across borders.
HSBC, Bank of America Merrill Lynch and the Infocomm Development Authority of Singapore have digitised letters of credit transactions using the Hyperledger Project's blockchain technology. This blockchain system mimics a paper-based letters of credit transaction in which information is shared between importers, exporters and their banks using a private distributed ledger. This allows them to formalise a trade automatically via a series of smart contracts, increasing convenience whilst reducing errors for all concerned.