Belarus Central Bank Creates Blockchain Info Net

Announcements, Blockchain, Group, Innovation | July 25, 2017 By:

The National Bank of the Republic of Belarus (NBRB), the country’s central bank, has established an information network based on blockchain technology. The network will allow any bank or non-banking financial institution to become the owner of a verifying node.

The Settlement Center of the National Bank has been mandated to act as administrator of the blockchain information network.

The central bank said the first practical use of this blockchain network in the sector would be the ability to transfer information about bank guarantees. The blockchain could be used to securely store the data recorded in the guarantee, as well as the guarantee itself. Ease of access for relevant stakeholders provides an added incentive for use. “The new mechanism of maintenance of the register of bank guarantees will ensure the mutual access of the economic entities of the states being members of the Eurasian Economic Union to the procedures of the government procurements of goods (works, services).”

The next step will be the introduction of the blockchain technology in the securities market. The Belarusian Currency and Stock Exchange will use blockchain for maintaining the register of securities transactions on stock and OTC markets.

The central bank highlighted that its blockchain network does not currently involve digital currency transactions, but argues there are no conceptual restrictions as to the areas of the blockchain use in the IT sphere. The NBRB hopes to eventually incorporate executable distributed code contracts and expand support to a number of additional operations.

“Over the longer term, this technology may be used in the banking sphere as well as beyond it to tackle any other tasks, including, for example, organization of work with ‘smart’ contracts. Under the conditions of availability of legislative environment, the information verified within the blockchain network may be further used in different kinds of activities requiring provision of information: in business, records management, medicine, legal support, and many other spheres,” the central bank said.