ABC Bank Partners with Hyperchain to Launch Blockchain-based Loaning System
On 1 August, ABC (Agricultural Bank of China) completed the 1st blockchain-based loaning business with the technical support from Hyperchain, a Hangzhou-based blockchain startup. The launch of “E-blockchain Loan” system marks the first practical blockchain-based user case in domestic banking industry. ABC is one of the four major state-owned bank in China. The product was released 2 month after the bid won by the Hyperchain team.
According to a press release of ABC, the system completed the 1st loaning business on 1 August. Kubota Agricultural Machinery (Suzhou) Co., Ltd. and its downstream customers, Xuzhou Zhongnian Agricultural Machinery Sales company has successfully completed the first online loaning payment via the “E-blockchain Loan” system. Small and medium-sized agriculture enterprises are always troubled with credit loaning from traditional bank due to the lack of trustworthy credit record.
Agricultural Bank of Bank has been actively researching on blockchain technology. The “E-blockchain Loan” is a financing tool designed for agriculture, farmers and agricultural products. The product integrates blockchain technology and the requirement of supply chain business. The system derives credit record from ABC’s banking database and offers one-stop financing service to the corporate customers. The service include orders purchase, credit authorization, flexible pricing, automatic approval, entrusted payment, self-help repayment and so on.
Back in June, Hyperchain announced the partnership with ABC in building a consortium blockchain system after six month of test run of its POC network, which is said to be smart contract, compliant with national encryption standard, hot upgrade of contract, visualization of business data, dynamic modification of node and data restoration. The team also entered partnership with Shanghai Stock Exchange in April to develop high performance blockchain-based system.