In Today’s tech world, more and more companies are either planning to acquire firms or collaborating with them in order to enhance their services and offer better products to their customers. Most of the financial institutions prefer to collaborate and share their technologies to offer the best of what they can to their customers. Financial institutions are very much approaching to blockchain technology, and the only reason for getting attracted to it is due to its reliability, security, fast and low-cost services.
Earlier leading banks of the world have signed a deal with their partners to offer blockchain based services, and now Everex Holdings, blockchain based service provider firm, headquartered at Singapore sealed an agreement with the state-owned local bank, Lao Development Bank (LDB) by signing a Memorandum of Understanding (MoU). The objective of the partnership is to design and execute cross-border payments powered by blockchain and deal with finance.
A ceremony was organized, LDB senior level executives, Lattana Keosihavong and LDB deputy managing director, Everex senior executive Phoutsala Omdalah were present at the ceremony.
Lattana Keosihavong, responsible for Laos at Everex mentioned It’s a day of pride for all the Lao’s citizens to know that there’s blockchain technology in Laos and possible due to Everex.
LDB senior executive said during the ceremony, the emerging technology, blockchain allows banks to exchange quickly and is less cost-effective. The mission of Lao’s bank is to support the financial sector of Lao’s by using blockchain technology. We can gain success for the banking sector of Laos, to the country and to the people of Laos.
Everex’s regional managing director, Tim Scheffmann stated, blockchain adoption will certainly benefit Laos and also the neighboring nations of Laos.
Scheffmann further said,
Due to its strategic position, Laos is well suited for digital border trade transactions in combination with migrant workers’ remittances and financial inclusion.
Implementing blockchain technology will certainly lower transaction fees, offer security, and high transaction speed. This will eventually help Lao to notice a high GDP rate and increases the trade amount. It will significantly affect trade finance.
The development stage includes defining project rules and also to define objectives for the invention phase.
Payment digitization is an important element of the ‘4.0 digital strategy’ of ASEAN. It’s a vital part of nations such as Malaysia, Singapore, and Thailand. Laos often monitored blockchain technology, and now it has started to implement it to stay by its neighboring nations.
The initiative of associating with LDB bank comes at a time when Everex is vigorously trying to grow throughout the region of Southeast Asian. Back in April 2019, Everex revealed it managed to receive a license from the central bank of Thai to execute a cross-border payment platform powered by Ethereum to build ‘payment connectivity’ between Thailand and Myanmar.
The project named as the Krungthai and Shwe Remittance project included Thailand’s Krungthai Bank and Myanmar’s Shwe Bank.
Everex specializes in blockchain based payment solutions provides a solution such as cross- border cash transfers, currency exchange, and merchant payments. The firm has worked with KTB and Shwe Bank and successfully managed to design a service allowing customers to exchange money across Thailand, anywhere and at any time with reduced foreign exchange fees through KTB’s mobile banking app.