Chain, Mitsubishi UFJ Start Blockchain Proof of Concept for Promissory Notes
Chain, a blockchain technology provider for financial institutions, announced that it has partnered with Japanese financial services giant Mitsubishi UFJ Financial Group (MUFG) to develop blockchain solutions
Chain and MUFG have started their partnership by collaborating on a blockchain proof of concept for promissory notes. The platform simulates an environment where businesses instantly and securely issue, transfer, sell and redeem promissory notes in a native digital medium, with lower costs and risks for counterparties over traditional methods. The solution is designed to give businesses the privacy and confidentiality they require, while at the same time providing transparency to regulators and auditors.
Mr. Satoshi Murabayashi, CIO at MUFG, commented on the partnership:
“We are pleased to be working with Chain to explore the application of next-generation financial infrastructure that we believe could significantly enhance the experience for our clients.”
Adam Ludwin, CEO of Chain, added:
“We are thrilled to be working with MUFG, our first partner in Japan. The team at MUFG is innovating rapidly in the blockchain arena and it is our privilege to be supporting and powering their efforts with Chain’s platform.”
In addition to promissory notes, MUFG and Chain are exploring other areas where blockchain technology could improve payments and market infrastructure in Japan, and are including other institutions in these efforts. Ludwin noted that Chain’s partnerships with financial institutions are strategic and long-term, as well as its commitment to the Japanese financial sector.
In 2016, various Japanese financial services groups have unveiled blockchain technology strategies or projects. Mizuho Financial Group and IT services provider Cognizant announced they had formed a partnership to develop a blockchain solution for secure record-keeping of documents among Mizuho Financial Group companies around the world.
In February, ORIX Corporation, ORIX Bank Corporation, The Shizuoka Bank, Ltd., NTT DATA Corporation, and NTT DOCOMO Ventures, Inc agreed to commence joint research toward the development of new financial services using blockchain technology.
The Japan Exchange Group (JPX) and IBM agreed to jointly test the potential of blockchain technology for trading in low transaction markets.
In January, Ripple announced that it is creating ‘SBI Ripple Asia‘ in partnership with global financial services company SBI Holdings, Inc to build up an engineering and sales force across Japan, China, Taiwan, Korea, and ASEAN countries for selling and installing Ripple’s enterprise solutions.