{"id":221871,"date":"2021-04-08T15:21:29","date_gmt":"2021-04-08T12:21:29","guid":{"rendered":"https:\/\/en.buradabiliyorum.com\/citi-and-iadb-complete-cross-border-payment-pilot-with-blockchain-tech\/"},"modified":"2021-04-08T15:21:29","modified_gmt":"2021-04-08T12:21:29","slug":"citi-and-iadb-complete-cross-border-payment-pilot-with-blockchain-tech","status":"publish","type":"post","link":"https:\/\/buradabiliyorum.com\/en\/citi-and-iadb-complete-cross-border-payment-pilot-with-blockchain-tech\/","title":{"rendered":"# Citi and IADB complete cross-border payment pilot with blockchain tech"},"content":{"rendered":"

“# Citi and IADB complete cross-border payment pilot with blockchain tech <\/strong>”
\n<\/p>\n

Banking giant Citigroup has successfully completed a proof-of-concept for blockchain-based cross-border payments in collaboration with the Inter-American Development Bank, or IADB.<\/p>\n

According to a Thursday announcement<\/a>, Citigroup\u2019s Citi Innovation Labs and the IADB enabled several disbursements from the United States to a recipient in the Dominican Republic using the LACChain blockchain network \u2014 a proprietary effort by IADB\u2019s regional program LACChain.<\/p>\n

As part of the project, the IADB deposited tokenized funds denominated in U.S. dollars in a Citi account and transferred the funds using digital wallets, IADB\u2019s blockchain specialist and LACChain technical leader Marcos Allende explained. \u201cAfter tokenized, these funds were converted to local currency \u2014 Dominican pesos \u2014 with the exchange rate established by Citi,\u201d he said.<\/p>\n

The blockchain-based pilot enabled IADB to provide instant traceability of transactions, exchange rates and fees, potentially bringing a new method of making cross-border payments from the United States to countries in Latin America and the Caribbean.<\/p>\n

\u201cThere are many app<\/a>lications of inclusive cross-border payments, such as official development assistance and international remittances. There is no doubt that they are extremely important for the economies of our region and, more importantly, for final beneficiaries and families receiving remittances,\u201d IADB Lab CEO Irene Hofman noted.<\/p>\n

The IADB is an international organization that supports Latin American and Caribbean economic development, social<\/a> development and regional integration. The IADB has been actively exploring blockchain technology<\/a> to fulfill its mission, with its innovation laboratory IDB Lab setting up<\/a> its blockchain-focused LACChain program in 2019.\u00a0<\/p>\n

The open-source LACChain runs on JPMorgan\u2019s blockchain and smart contract platform Quorum.\u00a0<\/p>\n

Citigroup is not a stranger to blockchain technology. Back in 2015, the bank developed<\/a> three blockchain-based systems and a pilot cryptocurrency dubbed Citicoin to explore more efficient cross-border transactions.<\/p>\n