The South Asian country of Bangladesh will soon get its first blockchain remittance system which will allow Bangladeshi expats in Malaysia to instantly transfer wage remittances to their home country.
According to a report from The Business Standard, British national banking service agency Standard Chartered Bank (SCB) today announced the blockchain-based cross-border remittance service for Bangladesh.
SCB developed the remittance service together with the Bangladesh-based mobile banking platform bKash and therefore the Malaysian remittance provider Valyou. It utilizes the blockchain technology of Ant Group, the financial arm of the Chinese business conglomerate Alibaba Group.
Ant Group, formerly referred to as Ant Financial, appointed SCB as its core partner bank in 2018 to figure on new blockchain remittance systems.
While the remittance service for Bangladesh remains within the end of its commercial testing, the bank plans to launch it soon for Valyou and bKash customers. Following the launch, Bangladeshi wage earners in Malaysia are going to be ready to transfer funds via Valyou to bKash wallet holders in Bangladesh.
Standard Chartered Bank will act because the fund settlement bank and regulatory approval holder for the remittance service.
Naser Ezaz Bijoy, CEO of ordinary Chartered Bank, Bangladesh, said that remittances were a crucial driver for the Bangladesh economy and supported many families. The launch of a moment remittance system available 24/7, he said, would make the transfer process more convenient for remitters.