12 Chinese Banks Highlighted “Blockchain” in Their Annual Reports
All the 26 A-share listed banks have launched their 2017 performance reports by now. Many of them have disclosed their achievements in Fin-tech area in the annual reports. These reports showed that some sttate-owned banks, joint-stock banks and city commercial banks in China had significant growth in their electronic banking and Fintech business.
The domestic large banks also have strong ambitions for applying new technology in their actual business. 12 out of 26 banks have already adopted blockchain technology to various application scenarios.
In 2017, blockchain has been recognized as an industrial solution in various fields. Many domestic banks also made attempts in blockchain innovation and applications. By retrieving the 2017 annual reports of 26 Chinese banks, we found 12 of them have adopted blockchain applications over the last year. The 12 listed backs include state-owned banks such as the Bank of China, China Construction Bank and the Agriculture Bank of China, as well as 6 joint-stock banks and 3 city–level Banks.
According to the annual reports of these 12 institutions, their blockchain applications are mainly focus in cross-border services and bill business. There are also some banks adopted blockchain applications creatively in cross-bounder loans and ID authentication process.
For instance, China Construction Bank has launched a blockchain-based platform to provide a cross-bank and cross-border loan issuance for small and medium enterprises.
Agricultural Bank of China launched an “E-blockchain Loan” system. It also marks the first practical blockchain-based user case in domestic banking industry. The blockchain system works as a financing tool for agriculture, farmers and agricultural products. In addition, this bank is also promoting the development of a financial digital credit system based on blockchain technology.
Similarly, Bank of China also eyes blockchain for trade financing. It has promoted biometric authentication technology applications such as fingerprints, finger veins, and voiceprint authentication via this new tech.
Blockchains has characters of decentralization and anonymity. It can cut the middlemen and irrevocable trading results. Because of this, More and more domestic financial institutions in China start to adopt this emerging technology in their daily business processes.