Cross Borders Payments Proof of Concept from D+H and Rabobank
DH Corporation, technological solutions provider to financial institutions, and international financial service provider Rabobank have announced the execution of a proof of concept that has shown that D+H’s payments services hub, together with Coin Sciences’ multichain blockchain solution, is able to execute cross-border payments in near real-time for banks, using distributed ledger technology. This enables the ability to send funds to any of the bank’s closed user group members and allows both payer and payee bank to agree to the payment before it is committed, preventing non-settlements or rejections after payment processing.
In addition to cross-border payments, Rabobank is investigating the use of blockchain for other ongoing projects, including payments through the Internet of Things, Know-Your-Customer registration and trade finance documents. Rabobank is a partner of blockchain accelerator Nexuslab, and works together with startups and corporates to find new business models to ultimately improve its customers’ experience.
Heimen Schuring, Head of Channel Support and Payment Engine at Rabobank, commented: “Rabobank has been able to validate the processing of blockchain payments in its own environment. We have seen meaningful results that tell us that further exploration of blockchain functionality is worthwhile.”
Financial institutions using D+H’s payments hub will be able to utilize a secure, closed loop distributed ledger system to connect bank networks, move money in near real-time, and improve access to liquidity. Using the solution, cross-border payments will benefit from the immutability inherent in blockchain technology to ensure security and reduce risk. D+H’s blockchain capability is based on a Closed User Group, pre-funded solution.
Moti Porath, Head of Product Management, Global Payments Solutions at D+H, said: “Congratulations to Rabobank for undertaking this important endeavour, and experimenting with blockchain to transform its cross-border payments business. Leveraging D+H’s global payments hub solution, the bank recognizes that cross-border payments can be made in a more efficient way, and that D+H can execute payments across borders in near real-time, with certainty and convenience.”