Banks mark first international trade using blockchain tech
Web-based transaction-processing system eliminates third-party verification costs
Blockchain creates a “golden record” of any given set of data that eliminates any need for third-party verification. Photograph: Hannah McKay/Reuters
The first cross-border transaction between banks using multiple blockchain applications has taken place, Commonwealth Bank of Australia and Wells Fargo said on Monday, resulting in a shipment of cotton to China from the United States.
Australian cotton trader Brighann Cotton Marketing bought the shipment bound for the port city Qingdao from US division Brighann Cotton in Texas, the companies and their banks said in a joint statement. The blockchain trade, for 88 bales, totalled $35,000 (€32,125), Commonwealth Bank said.