KBC, a bank-insurer in partnership with Cegeka, an IT specialist and various other companies has announced that it has successfully tested Digital Trade Chain (DTC), a blockchain solution to facilitate secure international trade between Small and Medium Enterprises (SMEs).

According to the official release, Digital Trade Chain application by KBC is a digital platform that tracks, manages and protects domestic and international trade transactions between SMEs, simplifying trade finance.

The application records the complete trade process from order to payment. It displays the registered trade process in an at-a-glance flowchart and after meeting all contractual agreements, it guarantees the payment. The DTC platform links parties like buyer, seller, KBC and the counterparty’s bank. It can be accessed easily via PC, tablet or smartphone.

“SMEs have to run their businesses differently in an increasingly digital age. KBC aims to give them innovative solutions to gear up to an increasingly digital environment. This successful DTC trial shows that blockchain technology offers a number of opportunities that we want to continue testing and developing,” CEO of KBC group Luc Gijsens said.

The application platform is available 24/7 and is fully automated. Due to this, the order-to-payment process is quicker and requires less back-office administration than the traditional exchange of documents.

KBC selected Cegeka for IT expertise in blockchain technology. Both KBC and Cegeka are working together to develop DTC and are negotiating with additional parties in order to make the platform more accessible and widely available. Also, various banks in Belgium and neighboring countries are exploring how the app can help to ease cross-border SME trade.

KBC is an integrated bank insurance group, focused on serving retail, private banking, SME and mid-cap clients. The group is active in its home markets in Belgium, the Czech Republic, Slovakia, Bulgaria, and Hungary, while also being active in Ireland and to a certain degree in other countries around the world.