Alfa-Financial institution, one of many largest non-public industrial banks in Russia, has joined a blockchain commerce finance community backed by HSBC.

Based on an official announcement on Nov. 3, Alfa-Financial institution is the primary Russian financial institution to change into a member of Contour — a blockchain platform connecting the world’s main monetary establishments like HSBC, ING and Citi. The community permits financial institution prospects to trace the processing and modification of commerce finance transactions and minimize operational prices.

Evgenia Fomina, head of the Alfa-Financial institution lending directorate, mentioned that Contour-based pilots within the Russian market intend to enhance the standard of cross-border transactions, stating:

“The accession to the Contour platform and launch of the pilot initiatives on the Russian market will fine-tune the technique of improvement of merchandise for transborder transactions. Buyer requests change into extra complicated, and we’re at all times looking for to supply one of the best options.”

Previously generally known as “Voltron,” Contour is targeted on the method of drafting and issuing letters of credit score utilizing R3’s Corda blockchain. The initiative was launched in 2018 by R3 and eight world banks, together with HSBC, ING, Citi, Bangkok Financial institution, BNP Paribas, Commonplace Chartered, SEB and CTBC.

Regardless of the venture being initiated two years in the past, the Contour community lastly went reside simply final month. Based on World Commerce Evaluate, Contour left beta in early October 2020 after a industrial beta launch initially of 2020. On Nov. 1, the Bangladesh department of world banking agency HSBC introduced the completion of the nation’s first blockchain-based letter of credit score transaction on Contour.

Contour CEO Carl Wegner mentioned that Alfa-Financial institution’s entrance to the community marks one other milestone for the venture. “Their involvement will proceed to construct an inclusive community that can enhance commerce throughout the globe,” Wegner mentioned.

Headquartered in Moscow, Alfa-Financial institution isn’t any stranger to blockchain know-how. The financial institution has additionally been a member of main blockchain consortium R3 since 2018. In October 2019, Alfa-Financial institution launched a pilot by way of R3’s Marco Polo Community to check cross-border funds between Russia and Germany. Beforehand, Alfa-Financial institution collectively launched a liquidity administration service primarily based on the enterprise blockchain Waves.