BBVA (Banco Bilbao Vizcaya Argentaria) has launched a system for paperless trade
transactions, which involves using of blockchain technology. Partnership of BBVA and Wave allow for cutting time of document submission. Earlier it took from 7 to 10 days but such a technology helps to reduce waiting time to 2,5 hours.
The first bargain with using this system was a transaction between Spain and Mexico. Usage of letter of credit, which is the most way to pay for wares in international trade, implies preparation of a pile of documents and the main problem during that process is a big probability of human error.
The new technology allows to validate a bargain for both parties simultaneously with using of electronic signature. The information about goods can be changed until wares are received in the buyer’s country thanks to Wave’s system.
The pilot proved that the blockchain can be used in international trading system and will help to simplify transactions.