Banco Bilbao Vizcaya Argentaria (BBVA) in Bilbao and Repsol in Madrid have announced a new partnership for a distributed ledger pilot in the financial sector. The Spanish banking and energy firms have closed a closed a revolving credit facility that will see them partner to explore the potential of blockchain tech in corporate finance. The announcement, which was made on the BBVA official website, read:
BBVA and Repsol have just closed a revolving credit facility (RCF) which for the first time uses distributed ledger technology (DLT) in a pioneering pilot in the area of corporate finance. Negotiation of the long-term credit line worth €325 million was completed using BBVA’s blockchain network, which reduced the process to a matter of hours rather than days in a fully transparent operation that allowed the tracking and approval of the documentation involved.
This latest blockchain venture is modelled on BBVA’s blockchain for loans. The Head of Strategy and Blockchain at BBVA, Alicia Pertusa, said that the project “is the fruit of BBVA’s pursuit of integrating innovative and disruptive financial products for corporate clients and to offer them the best solutions that meet their needs”.
BBVA Get Behind Blockchain
BBVA have already made their position on blockchain abundantly clear. Back in April, CEO Carlos Torres Vila was reported by the Financial Times to have said:
Blockchain can offer clear advantages for all sides in the corporate loan market in terms of efficiency, transparency, [and] security… It’s another strong example of how disruptive technology can be used to add value to financial services, something that is central to our strategy.
This clearly offered a hint that there was more in the pipeline, and this latest partnership with Repsol proves that this was indeed the case. The question now is, what next for BBVA?
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