The main objective here is to bring banks together in an effort to prevent credit fraud. Each bank using the system will become a node of the blockchain with access to the original list of people with bad credit that will be provided by Suning Bank.
The FI is, along with CITIC and Minsheng, also private banks, the first online-to-offline commercial banks in the country. Suning was created to provide loans to small and medium businesses. The three began using blockchain systems to record transactions of local letters of credit.
CITIC recently reported that, via the system, it had already made possible transactions worth about $156 million. Last Tuesday, the state-owned People’s Bank of China unveiled a blockchain-based system that can digitise paper cheques.
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