Marco Polo Blockchain Platform Adds BNY Mellon, Credit Agricole, and MUFG
The Marco Polo consortium welcomes the Bank of New York Mellon (BNY Mellon), Japan’s MUFG, and Credit Agricole in their blockchain-based trade finance platform according to a press release by Ledger Insights dated November 26.
BNY Mellon Joins Marco Polo Trade Finance Network
Marco Polo Network keeps growing as three leading financial institutions join the network. The Bank of New York Mellon (BNY Mellon), Japan’ MUFG, and France’s Credit Agricole are now part of Marco Polo, one of the largest and fastest-growing consortia that leverages Corda distributed ledger technology (DLT) to provide innovative solutions to increase global trade efficiency.
BNY Mellon will be the second US bank to join the network after Bank of America, while Credit Agricole and MUFG will enhance Marco Polo’s presence in Europe, Asia, and the Middle East.
Joon Kim, Global Head of Trade Finance at BNY Mellon, acknowledges that much can be done to improve trade finance processes especially when it comes to efficiency and security. The Manhattan-based financial company will leverage the Marco Polo platform the explore the potential benefits arising from a blockchain-based solution.
Moreover, BNY Mellon is a shareholder of Fnality, a financial service company that wants to launch a utility token to facilitate settlement among different currencies and banks. Curiously, MUFG is also a shareholder of the company, which recently raised $50 million from some of the largest banks worldwide.
A Growing Network
Started in 2017, the collective aims to enable more transparent, smarter and better-connected trade finance procedures thanks to blockchain-based applications. Marco Polo offers access to innovative solutions that mitigate risks including operations such as receivable discounting, payment commitment and payable finance programs.
Marco Polo enjoys the support of numerous top tier international banks such as: BNP Paribas, Commerzbank, ING, LBBW, Anglo-Gulf Trade Bank, Standard Chartered Bank, Natixis, Bangkok Bank, SMBC, Danske Bank, NatWest, DNB, OP Financial Group, Alfa-Bank, Bradesco, BayernLB, Helaba, S-Servicepartner, Raiffeisen Bank International, Standard Bank and National Bank of Fujairah.
The consortium also witnessed the entrance of another payment giant earlier this month when credit card provider Mastercard became a member claiming that it will provide an access point to Marco Polo’s working capital.
When it comes to trade finance projects, blockchain technology appeal is rapidly growing thanks to its value-added benefits. Advantages range from increased consensus techniques, enhanced cost-efficiency, and overall simplification of the processes.
Alongside Marco Polo, the trade finance market developing blockchain applications already counts around 30 consortia including Corda-based Voltron, Ethereum-based CargoX and eTrade Connect for the Asian market.