Interoperable Distributed Ledger Technology (DLT) Pilot Project
Mission
To set up a Distributed Ledger Technology (DLT) Platform for the Indian banking ecosystem
Across three fabric layers
Leveraging WEAVER Protocol
First of it’s kind attempt in Indian financial sector
Distributed Ledger Technology (DLT) is a technology that supports networks of databases enabling participants to create, disseminate and store information in a secure and efficient manner. Smart contracts supported by DLT allow for automated execution, thus reducing manual intervention and paperwork. Despite its benefits, there has been limited technological adoption among financial institutions.
In this context, we consulted with leading public and private sector banks to understand key issues. Vendor lock-in with a single DLT fabric and lack of live use cases at scale were major industry concerns. To address these, we conceptualised the idea of a DLT platform for the financial ecosystem.
After extensive research, we hosted a virtual roundtable attended by all major public and private banks in Jan’22, where Inland Letter of Credit (LC) was chosen as the use case for a Proof-of-Concept (POC). The current end-to-end inland LC process is lengthy, requires human intervention at multiple levels, and is also prone to fraud.
RBIH DLT Project Milestones
In June 2022, we conducted a successful POC exercise with 11 banks, 3 DLT fabric and application layer partners, and fintech startups.
Based on insights from the POC, we are working closely with Indian Banks’ Blockchain Infrastructure Co Pvt Ltd (IBBIC) to facilitate DLT adoption at scale.
To know more about this project, read the detailed rundown of the POC in our closure report.
Interoperable DLT POC Closure Report
Problem Statement / Problem identified:
Proposed Project Phase:
Conclusion:
Project Partners
- Technology Partners
- Banks
- System Integrators