Reliance India Limited (RIL) has become the first Indian company to receive payments through blockchain technology. Specifically, a blockchain-enabled Letter of Credit (LC) was issued by US-based Tricon Energy to Reliance. The deal was facilitated with HSBC as the advising and negotiating bank for Reliance and ING Bank for Tricon Energy.
Blockchain-payments drastically reduce the transaction and settlement times in such large trade finance scenarios which can typically take days to settle. Moreover, it offers a secure, immutable and transparent mechanism to complete payments.
It is interesting to see blockchain technology getting a lot of love from the Indian government, but cryptocurrencies being shunned by them. Hopefully, the government will realise the benefits of cryptocurrencies and give them a chance in the country.