BNP Paribas has just completed its first cross-border corporate payments transactions via blockchain technology, the bank announced Wednesday (Dec. 21).
The bank completed the transactions for packaging company Amcor and trading cards company Panini, with payments cleared in multiple currencies across Germany, the Netherlands and the U.K. BNP Paribas moved funds between its bank accounts located across the countries, the company explained.
The completion of these transactions comes three months after the bank first announced plans to pilot several blockchain-based applications with its clients. One of its projects was its “cash-without borders” initiative, which led to the completion of this cross-border payment via blockchain. According to the bank, the payment cleared in only a few minutes.
“This proof-of-concept demonstrates that blockchain technology offers real opportunities to considerably improve our offer for corporate treasury managers,” explained BNP Paribas CIB Head of Transaction Banking EMEA Jacques Levet. “On the payments front, this confirms our strong commitment to follow closely and further accelerate our participation in a number of market initiatives aiming at improving the corporate payments experiencing using blockchain technology.”
In its announcement, the France-based bank also noted that the success of this initiative demonstrates the potential for blockchain to provide greater speed and accuracy for cross-border payments in the B2B transacting space.
Earlier this year, the bank also announced that it would support the ability for its corporate clients to issue mini-bonds via blockchain. Three companies — Lendosphere, Enerfip and Lumo — were the first to participate in the initiative.