According to Finextra, Bank Bilbao Vizcaya Group (BBVA) is signing a multi-million dollar corporate credit with ACS Group to develop a blockchain infrastructure for the civil construction industry.
According to their website, The ACS Group is a worldwide reference in the construction and services activities as well as the development of key sectors for the economy, such as infrastructure and energy. It is also a company committed to the social and economic progress of the countries in which it resides.
After having successfully gone through a testing phase in the area of the loan and a corporate credit facility using the blockchain technology, both companies have now signed a new loan to be used in the development of blockchain apps that will benefit both industries.
BBVA is improving its Corporate & Investment Banking model
While ACS is looking to implement the technology to cut costs and increase transparency, BBVA Corporate & Investment Banking is aiming to develop and improve its innovative financing model for its corporate clients.
BBVA and ACS have signed a €100-million-euro long-term bilateral corporate loan to be used for financial general needs. The use of blockchain technology in this type of operation is a great leap forward in the efficiency of financial processes.
Both companies agree that Blockchain technology is capable of introducing significant improvements. It enables transparency and traceability of contracting by giving both companies the ability to independently track the state of the contractual process and the conditions at any time as the blockchain allows a complete auditing system that cannot be tampered with. The system also allows many of the financial processes to be automated, which translates into quicker negotiation and reduced costs.
BBVA has been signing partnerships and reinforcing agreements with companies to implement blockchain-based financial solutions. This means that the group is constantly working with corporate clients with the purpose of offering the latest technological innovations on the blockchain.
BBVA offering blockchain-based solutions to corporate clients
The company’s latest partnership closed a deal worth around €325 million. BBVA partnered with Repsol to develop blockchain-based financial solutions to the Fuel giant.
BBVA has been in the forefront of blockchain based financial research and is now using the technology to improve its corporate credit processes. It has spearheaded the development within the financial industry and is now a benchmark in the transformation of the industry. The company is now looking to improve its wholesale banking sector by innovating both financial products as well as digitizing solutions and focusing on the enhancement of clients and corporations business experience.