Zetrix, a leading public blockchain platform, is partnering with the Bank of China to launch a pilot project focused on offering supply chain financing products.
This initiative is aimed at international importers and exporters, providing them with an efficient and fully digital onboarding process, including the registration of a Chinese legal entity, bank account setup, and credit assessments.
The partnership aims to streamline and digitise supply chain financing for trading firms engaged in cross-border trade by offering low-cost financing options and expedited release of drawdowns, all powered by on-chain events recorded and verified on the Zetrix blockchain.
As part of the move, Zetrix has further strengthened through its partnership with Dixchain, a national-level high-tech enterprise in China, to further cement its commitment to localisation.
The Bank of China is the first financial institution to join this collaborative effort, which will pro an end-to-end solution with seamless digital onboarding for trading firms, including the registration of a Chinese legal entity, bank account opening, and credit assessments.
Approved clients will benefit from cost-effective financing options and faster access to drawdowns, thanks to on-chain events recorded and verified on Zetrix.
China has experienced a dramatic digital transformation in recent years, with a strong shift towards online services, including financial services, all underpinned by the advantages of blockchain technology.
The Chinese government actively supports and promotes the development of the blockchain industry, positioning the nation as a global leader in blockchain adoption.
TS Wong, founder of Zetrix said, “This is a game changer on several fronts. By tracking and verifying the transactions onchain, banks will be able to reduce their risks and enhance their ESG ratings, hence, in turn, reducing the overall cost of financing for end-users. Trading companies can also leverage on the interest rate differentials their respective countries, as well as widen their financing options.”
Stay updated with the latest FinTech news here.
Copyright © 2023 FinTech Global
