HSBC: $20 Billion Worth Of Private Placement Paper Records To Be Stored in Blockchain Platform

Global bank HSBC wants to move away from paper records and instead store relevant records of deals in a custody platform based on blockchain technology, according to a report from Reuters. The project is one of larger uses of blockchain in the financial sector in terms of the value which is tracked.

The platform is named DigitalVault. It will allow investors to have real-time access to securities bought in private markets. HSBC manage assets in this market valued at up to $20 Billion (18,1 Billion Euro).

Using the platform contracts and other paperwork from “private placements” are supposed to get easier to store and track. So far most of the records from such deals are kept on paper, which results in complexity, costs and time consuming searches. 

Given in some recent posts there was talk of a “blockchain fatigue”, specifically in the field of non-crypto projects, the DigitalVault initiative will be watched closely by the Blockchain community. 

Source: Reuters (November 27, 2019)

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