BBVA (MC:BBVA), one of Spain’s largest banks, announced that it has signed a loan with the construction and civil engineering company ACS using blockchain technology.
The €100-million-Euro long-term bilateral corporate loan will be used by ACS to finance general needs, according to the official press release from the bank. “The deal shows that BBVA Corporate & Investment Banking is continuing to focus on an innovative financing model for its corporate clients,” said BBVA, adding that “The use of blockchain technology in this type of operations is a great leap forward in efficiency in financial processes.”
According to BBVA, the technology guarantees the transparency and traceability of the contract. Both parties are able to independently consult at any time the state of the contractual process and the conditions, due to the traceability afforded by the technology. Also, the system digitizes the negotiating process and shortens management time from days to hours.
This is not the first time BBVA has used blockchain to sign a loan deal. Recently, it announced its first one, with the Spanish consulting and technology company Indra. Last month, BBVA signed an agreement with the Spanish energy company Repsol (MC:REP) for the development of blockchain-based financial solutions.
It appears that Spanish banks have an open-minded approach towards blockchain technology, unlike many of their counterparts elsewhere. Banco Santander (MC:SAN), for example, has found multiple applications for the technology. It was among the pioneers in applying it to instant money transfers. More recently, Santander implemented blockchain in the test counting of investor votes and launched a forex service based on Ripple’s technology.
BBVA is the second-largest commercial bank in Spain. It offers a wide array of financial services and products for retail and corporate clients and has a significant presence in South America.
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