Yesterday GlobalTrade Corporation (GTC) revealed it is developing a Trade Finance Exchange (TFX) solution in conjunction with three large enterprises and three major banks, Credit Agricole CIB, HSBC and Standard Chartered. The concept is that global corporates can request quotes for their trade financing needs from multiple banks. The unique selling point is that Global Trade has an existing solution used by large corporates to manage their trade finance so that it can offer tight integration.
The project does not use blockchain but could challenge some of the blockchain trade finance initiatives. For example, there are two Letter of Credit blockchain initiatives.
Komgo focuses on commodities, and there’s a
Letter fo Credit blockchain consortium formerly called Voltron.
Marco Polo is initially more focused on open account trade finance and supply chain but provides the ability to choose a bank from within the ERP system.
Jacob Katsman, Chairman of GlobalTrade, said that clients “wanted request for proposal (RFP) functionality to be integrated with our trade finance management platform that they are using daily for processing guarantees and export documentary credit business.”
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