The Reserve Financial institution of India (RBI) is seeking to develop a proof-of-concept blockchain venture centered on commerce financing, alongside a number of prime Indian banks, the Financial Occasions reported on Thursday.
HDFC Financial institution (HDFCBANK), ICICI Financial institution (ICICIBANK) and State Financial institution of India (SBIN) are among the many the banks taking part within the venture designed to deal with mortgage fraud. the report stated.
The venture will intention to forestall the tampering of paperwork like Letters of Credit (LC) by issuing digital variations of them. Digital paperwork might forestall frauds likes those dedicated by Nirav Modi and Mehul Choksi, wherein billions of rupees have been siphoned.
The central financial institution needs to make blockchain expertise part of its core banking system and can use this venture as a method of demonstrating that the idea has real-world use.
IBM (IBM), Corda Applied sciences and Belgium-based SettleMint are offering technological help for the venture, the report stated citing folks with information of the matter.
India’s central financial institution is understood for its anti-crypto stance, although Governor Shaktikanta Das has beforehand stated that blockchain expertise can thrive with out cryptocurrencies.
The RBI didn’t instantly reply to CoinDesk’s request for remark.
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