PBOC says blockchain solves trade authentication, financing issues

The use of blockchain technology solves the issue of information asymmetry in tr...

FILE PHOTO: A Chinese national flag flies at the headquarters of the People's Bank of China, the country's central bank, in Beijing, China, January 19, 2016. REUTERS/Kim Kyung-Hoon

SHANGHAI - The use of blockchain technology solves the issue of information asymmetry in trade finance and the core problem of providing proof of trade authenticity, the Shanghai headquarters of the People’s Bank of China said in a statement on Thursday. Blockchain technology effectively reduces financing risks for financial institutions, and lowers financing costs for importers and exporters, the statement said.

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