Mitsubishi Corporation (Americas) purchased $43 million in metals from a Peruvian mine over a series of transactions using a new kind of digital asset for trade, a Distributed Ledger Payment Commitment (DLPC).
In some ways, a DLPC is not dissimilar to a check but a sophisticated one. The buyer of goods legally commits to make a payment on a specific future date, if certain conditions are met. But the DLPC is a negotiable instrument. So it can be sold, and hence it’s a digital asset, in this case, a kind of IOU from Mitsubishi. The DLPC is a global standard developed by BAFT, the banking trade association.
Last year blockchain platform Skuchain partnered with Mitsubishi RtM, the metals and minerals trading division. Skuchain co-founder and COO Rebecca Liao also co-chaired the BAFT working group that developed the DLPC specification, hence the use by Mitsubishi.
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