Bank of America develops blockchain-based experiment for trade finance

The Bank of America is developing a blockchain-based experiment for trade finance transactions in an attempt to tap into the applications of blockchain technology for real world applications.

“We are working on a pilot in the trade finance space. As trade finance often relies on manual, paper-based processes, it serves as an interesting use case of the value of digitising an asset on a distributed ledger,” said Bank of America Merrill Lynch head of innovation for global transaction services Jason Tiede.

Tiede also revealed that the trade finance pilot based on blockchain tech is being developed with another unnamed bank and could be ready for real-world testing by late spring 2016.

The Bank of America is an American multinational banking and financial services corporation headquartered in Charlotte, North Carolina.