Ant Financial, an affiliate company of the Chinese Alibaba Group, has launched a blockchain-powered cross-border remittance service.

The service leverages blockchain technology developed by Alipay, the online payment platform operated by Ant Financial Services Group. AlipayHK, an electronic wallet operated by Alipay Financial Services (HK) Limited, and micropayment service GCash have launched the cross-border remittance service through their e-wallet platforms. Standard Chartered will provide the underlying banking infrastructure to support this initiative.

According to the official release, this marks the first blockchain-based cross-border digital wallet remittance service globally.

The blockchain-based solution will help to streamline the remittance process – significantly improving the speed, transparency, and security measures, while drastically reducing costs. It will provide round-the-clock, real-time money transfer between Hong Kong and the Philippines at a competitive exchange rate with much lower transaction fees, which will be further waived during an initial three-month trial period. With a few taps through AlipayHK’s mobile phone application, money will be transferred within seconds to a GCash user.

Once a user submits a remittance application, all network participants, including AlipayHK, GCash and Standard Chartered Bank, are notified. With the blockchain service, the existing segmented procedures can take place in parallel, enabling simultaneous verification and execution of the transaction. The sender and receiver will be able to track their money at every step, until the receiver successfully obtains the money. All information stored, shared or uploaded through the platform is further encrypted with the most advanced protocols to protect the user’s privacy.

“We are very excited to introduce this new remittance solution to our users in Hong Kong, and in particular to the Filipino community in the city,” said Jennifer Tan, CEO of Alipay Payment Services (HK) Limited (APSHK). “What used to be a long process of physically going to a remittance booth, queuing in line for hours and filling out forms, is now easily and securely done over the mobile phone in just a few seconds. Together with GCash, we aim to provide Filipino expatriates a more convenient, seamless experience to transfer money back home to their families in the Philippines.”