Five months ago Finastra launched its
Fusion LenderComm platform, a blockchain network for syndicated lending. Today Natwest became the first bank to complete the second phase that involves full integration with the platform. The new version goes live in November.
In 2017 there were £3.5 trillion of new syndicated loans globally.
With very large loans, banks won’t take on the full amount, so they spread the risk amongst other banks. Many loans involve revolving credit facilities which allow the borrower to repay the loan and draw it down again later. Banks need to be able to keep track of their share including the interest. In the past, that was done by emailing back and forth. So the first phase of Fusion LenderComm was to share this data but using a web page to interrogate the information.
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