BTL Group Ltd. has announced that it has entered into a project with Visa Europe Collab to explore potential financial service applications for blockchain technology. The project will use Interbit, BTL’s cross-border settlement platform, to explore the ways in which a blockchain-based settlements can reduce cost, settlement time, credit risk, and automate many of the regulation and compliance requirements of domestic and international transfers.
A small number of European banks have been invited to participate in the project where will be able to connect to the network and send funds to other banks in the network across multiple currencies. It is hoped that the Proof of Concept will grant participants an insight into the role that the blockchain development and implementation could play in the future of banking.
Hendrik Kleinsmiede, co-founder and Innovation Partner at Visa Europe Collab, commented: “For me the opportunity is a fascinating and potentially very beneficial one. Through the use of smart contracts and blockchains I believe we can create a fast, compliant and low-cost interbank payment and settlement service, with embedded regional compliance. The PoC will deliver a first-of-its-kind blockchain-based settlement system, and we are pleased to be working with BTL to explore its implications and opportunities for our industry.”