Brazil and Hong Kong, this week, completed their first official digital asset transaction using decentralized oracle network Chainlink. The transaction was facilitated by Banco Inter with Hong Kong’s Ensemble platform, which is a blockchain system developed under the Hong Kong Monetary Authority (HKMA).
Brazilian digital bank Banco Inter has been testing its Drex digital currency initiative under the oversight of the Central Bank of Brazil. This pilot transaction was also part of this test.
“We’re building a more connected financial ecosystem that has the ability to underpin the future of global trade,” the report quoted Bruno Grossi, Head of Digital Assets at Banco Inter as saying.
The pilot tested both Delivery-versus-Payment (DvP) and Payment-versus-Payment (PvP) models. The mechanisms are designed to reduce settlement risk by allowing the simultaneous transfer of assets and funds.
Chainlink provided the connection infrastructure between the two entities to test how digital assets could be used for international financial settlements within one automated workflow, CoinDesk reported citing an official statement from the involved entities.
“This solution marks the first time a blockchain-based title registry and cross-chain payment infrastructure were connected via a single, automated workflow, setting a new standard for global trade settlement,” Chainlink posted on X.
The Global Shipping Business Network (GSBN) was also part of the pilot. It tackled the updating of the electronic bill of lading (eBL) as part of the payment process. The Hong Kong-based non-profit uses a blockchain-based platform to digitize global trade and make it paperless.
Standard Chartered and 7COMm are other platforms that were part of this successful trial.