IBM (NYSE: IBM)
today announced it has signed a contract with the Bank of
Tokyo-Mitsubishi UFJ (BTMU) to examine the design, management and
execution of contracts among business partners using blockchain
technologies. The two companies will begin by piloting blockchain to
automate business transactions between the two companies.
This is one of the first projects built on the Hyperledger Project fabric, an open-source blockchain platform, to use blockchain for real-life contract management on the IBM Cloud.
IBM and BTMU have built a prototype of smart contracts on a
blockchain to improve the efficiency and accountability of service level
agreements in multi-party business interactions. The bank plans to
begin using it to manage contracts within their business in fiscal year
2017. In addition, IBM and BTMU aim to manage agreements between the two
companies with the system by the end of fiscal year 2017. To help
improve efficiency, IBM and BTMU will monitor delivery and usage of
equipment with a sensor that embeds information into the blockchain.
This will then automate invoicing and payment processes between the two
companies.
"Blockchain technology has the potential to change not only the
financial world, but also other areas of the business world, leading to
improved efficiency of the end-to-end business process," said Mr. Motoi Mitsuishi, Deputy Chief Executive Officer of BTMU Asia & Oceania and General Manager, Singapore Branch and Corporate Banking Division for Asia
& Oceania. "Today, we are embarking on a journey with IBM to
exploit the potential of this new technology. We are very pleased with
the outcome of the first blockchain proof of concept working with IBM
Research and IBM Global Business Services and we look forward to seeing
these blockchain applications come to fruition."
"IBM continues to invest billions of dollars into research on
emerging technologies that hold transformative potential for our
clients. Blockchain will reinvent complex multi-party and contract-based
business models, especially in banking and financial services," said Bridget van Kralingen,
senior vice president, IBM Industry Platforms. "This expands our
expertise in helping clients identify the right projects and build out
blockchain solutions to solve day-to-day business problems more
effectively. We are delighted to be expanding the scope of our
partnership with BTMU with this blockchain initiative."
IBM announced the launch of the first global research-led IBM Center for Blockchain Innovation in Singapore in collaboration with the Singapore Economic Development Board and the Monetary Authority of Singapore. Located at the Watson Centre at the Marina Bay, the Centre aims to propel Singapore
into a top destination for innovation in finance, trade, and commerce,
and establish it as a global center of deep competence, expertise and
industry leadership in enterprise blockchain and cognitive technologies.
IBM is rapidly expanding its blockchain consulting services and
capabilities and actively working with clients to understand what it
takes to make blockchain ready for business. Through its open source
contributions to the Hyperledger Fabric and its blockchain services on
IBM Bluemix, developers can easily and quickly develop applications
while testing security, availability, and performance of a permissioned
blockchain network. IBM is advancing the science of blockchain, helping
to remove complexity, and making it more accessible and open. Financial
services, supply chains, IoT, risk management, digital rights management
and healthcare are some of the areas that are poised for dramatic
change using blockchain networks.
About IBM
For more information about IBM Research, visit www.research.ibm.com.
For more information about IBM Blockchain, visit www.ibm.com/blockchain.
For more information on the Bank of Tokyo-Mitsubishi UFJ, visit http://www.bk.mufg.jp/global/.
Contacts:Holli Haswell
IBM Media Relations
1-720-396-5485
hhaswell@us.ibm.com
IBM Media Relations
1-720-396-5485
hhaswell@us.ibm.com
IBM Singapore
DID: 6418 3723
jeanroz@sg.ibm.com