Originally created for the digital currency Bitcoin, blockchain enthusiasts quickly began to realize its potential for other uses. Because blockchain allows digital information to be distributed while protecting it from being copied, the technology is being eyed as a way to share sensitive financial data, track goods as they move through the supply chain, and even de-centralize the energy market.
BLOCKCHAIN FOR ASSETS, CONTRACT & DOCUMENT MANAGEMENT
The features of blockchain – its security, comprehensive audit trail, and fool-proof transaction tracking – make it particularly useful for digital asset management. Blockchain 2.0 introduced a concept known as Smart Contracts, which cuts out the middlemen typically used (such as lawyers and notaries) in contractual transactions, defining rules and penalties and verifying and enforcing the contractual obligations. This technology allows content creators to share ownership of an asset, ensures that payments are allocated appropriately, and facilitates the transfer of rights when assets are sold or transferred.
For instance, a photographer may work with models, directors, and editors for a magazine shoot. Smart Contracts enforces the stake of each party in the creation, payment, and rights of the final product. Using the same example, a digital agency who owned that final product could use Smart Contracts to sell the asset to another entity or to license the final product to another company, with every party’s stake, rights, and payment transactions being recorded on the blockchain network.
Letter of Credit (LOCs), Debt Note (STNs, MTNs, LTNs) and account ledgers are just some of the various financial instruments that have been digitised by Xinda Bank.
With GEN blockchain technology, Xinda Bank has successfully implemented digital transformation and remain ahead of the competition as a next-generation bank.
Lower operating costs, higher security, accountability and transparency are just some of the benefits our bank and clients enjoy with the implementation of GEN blockchain.
Blockchain Benefits for Xinda Bank
Real-Time Previewing and Reviewing of trade finance documents
Transparent viewing of invoices helps to factor them for short-terms
No need for a middleman, thus reducing the risks of fraudulence.
Smart contracts eg LOCs and MTNs will get updated in real-time, reducing paperwork and operational time.
Blockchain offer proof of ownership and is fully transparent.
All regional regulations can get maintained just from one place.
Consortium Blockchains operate under the leadership of a group. As opposed to public Blockchains, they don’t allow any person with access to the Internet to participate in the process of verifying transactions.
Federated Blockchains are faster (higher scalability) and provide more transaction privacy. Consortium blockchains are mostly used in the banking sector.
The consensus process is controlled by a pre-selected set of nodes; for example, one might imagine a consortium of 15 financial institutions, each of which operates a node and of which 10 must sign every block in order for the block to be valid.
The right to read the blockchain may be public, or restricted to the participants.
To facilitate higher speed, scalability and ensure privacy, Xinda Bank has decided to use consortium blockchain for its operational needs. Thus, the GEN Consortium was formed and the GEN blockchain was developed to serve the consortium’s blockchain needs. Xinda Bank is proud to be one of the consortium’s pioneering bank in successful financial trade blockchain implementation.
BLOCKCHAIN FOR DIGITAL ASSETS MANAGEMENT
BLOCKCHAIN: These chains of blocks, initially linked to the exchange of cryptocoins such as bitcoin, are today a commercial alternative for any environment where it is required to transmit sensitive information in a completely secure and unalterable manner. For example, it is already used in financial contexts (as several banks are already testing in order to ensure the integrity of economic transactions) in transport (for example, using blockchain to register and certify the drivers’ medical examinations and qualifications) or in food and logistics (guarantee full traceability of food and speed up the detection of any anomaly that endangers human health).
In the case of document flows in companies, blockchain assures something similar. It’s about using these distributed networks of equipment (either anonymously on a global scale or in a private, bounded network) to verify and validate all the documents entering and leaving our organization.
In a file system based on blockchain, we can instantly verify the location of a particular document, who created it and when it was last modified, detecting any attempt to manipulate it.
This is possible thanks to a unique fingerprint for each element that we introduce in the chain (an ID generated by algorithms) that allows us to identify each file within our perimeter of action. This information is also accessible to any partner of the organization authorized to do so – which provides maximum transparency in document processes – and we will also be able to obtain the relevant approvals established in our work processes.
On the other hand, it avoids the classic problem of duplications and the use of different versions of the same file, since as soon as a person modifies the file, the system will automatically register this update so that no misunderstanding occurs in the management of different files.
Among all the documentary possibilities offered by the blockchain, one of the most interesting for companies is the smart contract. In these cases, we are facing digital contracts that include a linear sequence of actions where each one of them enables the following one. This means that there is no need for an intermediary – read notary or similar – to certify the compliance with certain commitments between two companies or between the company and an individual: with blockchain, the system itself prevents any of the parties from altering or taking advantage of the document in question.
Xinda Bank is proud to be one of the pioneers in the banking industry to have successfully implemented blockchain technologies in our operational processes.
GEN Blockchain Jointly Developed By
Xinda Bank is the major financial institution and sponsor of the GEN Blockchain ecosystem. Xinda is also one of the pioneering banks that integrate financial trade and banking products such as MTNs and LOCs with blockchain technologies.
Ripple was established with the idea of using blockchain technology and digital assets to enable financial institutions to send money across borders, instantly, reliably and for fractions of a penny. Ripple’s global payments network includes over 300 customers across 40+ countries and six continents. Xinda is proud to be in partnership with Ripple to integrate the GEN ecosystem with the XRP Ripple blockchain payments network.
Most of the technological research and development is spearheaded by GCF Corporation, and their unique goal is to integrate GEN blockchain with carbon credit and green initiatives. GCF is also one of the major financial institutions involved in the GEN Blockchain Ecosystem.
Hyperledger incubates and promotes a range of business blockchain technologies, including distributed ledger frameworks, smart contract engines, client libraries, graphical interfaces, utility libraries and sample applications. The Hyperledger greenhouse strategy encourages the re-use of common building blocks and enables rapid innovation of DLT components. Their open-source libraries were used as a foundation for GEN Blockchain ecosystem’s distributed ledger.
Corda is an open source blockchain project, designed for business from the start. Corda allows businesses to build interoperable blockchain networks that transact in strict privacy. Corda’s smart contract technology allows businesses to transact directly, with value. GEN blockchain was adapted from Corda foundations and Corda remains a valuable software engineering partner.