Raiffeisen Bank to Implement Digital Currency

Endy Callahan

Long transaction process and burden of never-ending paperwork that comes with transferring bigger amounts is not news to anyone. Raiffeisen Bank joined its efforts with the Billion Group to pilot digital currency project that may potentially change the way we use bank transfers worldwide.

Vision

The Billion Group CEO has stated that Raiffeisen Bank is an institution they have been meaning to work with. They were impressed with their leading position and openness to new technologies. Wojtek Kostrzewa is sure that the program of their partner called the Elevator Lab is influencing the CEE countries in a positive matter. They hope that the tokenization platform will do good for both companies and will be a positive step for the financial market globally.

This year the partners have run a test on the use of this technology as the part of Elevator Lab, the bank`s program that aims to find the most promising projects using financial technology. Since the run went very well, they decided on implementing new method of tokenization of national currency, based on the Billion Group developments. This way can also be beneficial by providing the much-needed transparency and to avoid using unnecessary documents. You can still add information, for example, on the confirmation of the source of your funds but the process will be shortened.

The outdated complication of the money transfer needs to be the thing of the past. Raiffeisen Bank International and the Billion Group believe that the use of fintech will allow to cut back costs and transfer time, without compromising reliability.

The head of the Blockchain department at Raiffeisen Bank International said that implementing new financial solutions alongside with fintech companies is as needed during COVID-19 as ever. The pandemic slowed down the transaction processes that are not as fast as they can be in the first place.

The upcoming project launch

Selected Raiffeisen Bank companies and institutional clients will participate in testing the new asset tokenization platform. The RBI bank operates in the CEE countries, so the project will be located in one of these countries. Potential choices include Ukraine, Russia, the Czech Republic, Poland.

It is noted that RBI coin will not be necessarily linked to Euro, the choice of currency will be based on the chosen country (ratio 1:1).