A blockchain solution will provide the complete transparency and traceability to activities which are related to European Commercial Paper (ECP) issuance. Four firms such as European Investment Bank (EIB), Euroclear, Banco Santander, and EY all worked cooperatively for the development of the solution. Moving into a pilot phase is an intend of Euroclear. ECP issuance institutions can come for participation in the pilot phase.
The Head of Data Services & Innovation at Euroclear Group Edwin De Pauw said, “We are delighted to have completed this proof of value with our partners and excited by the innovation opportunities it creates. Our ambition is to deploy an efficient blockchain powered solution that supports further growth of intra-day issuance for ECP markets.”
Time can be reduced for bilateral processes through the blockchain solution.
Euroclear group is a post-trade services provider. Settlement and custody related to national and international securities whether for bonds, equities, or derivatives are provided to investment funds.
EIB is a nonprofit long-term lending institution located in Kirchberg, Luxembourg. It was established in the year 1958 in Brussels, a city in Belgium.
Ernst & Young (EY) is a multinational professional services company located in London, England. It was established in the year 1989. It is recognized as the world’s largest professional services company, according to Wikipedia Ernst & Young page.
Operational costs can be reduced through the blockchain solution. The operational costs can’t just be reduced, but true time optimization can also be reduced, Euroclear reported.