In a press release, Visa provided additional details about its “one-of-a-kind distributed ledger-based platform” by the name of B2B Connect. The aim of the system is to allow large financial institutions to process high-risk and high-value cross-border payments on a global level. The specific aim is to “remove friction and time spent on… corporate transactions.” Banks and other institutions will be able to connect seamlessly with other banks and distribute money with ease.
The B2B Connect platform will also be shared with IBM, as it is built upon the Hyperledger Fabric network. Visa plans to expand their partnership with B2B Connect as a means of tightly integrating it into their business model.
The next steps for B2B Connect
The global head of Visa Business Solutions, Kevin Phalen, commented in the press release, saying that the corporation intends to be “fixing broken processes and breaking down geographic barriers” with B2B Connect. The promise of seamlessly moving large sums of cash has been a problem in the financial world since the dominance of global business, however, it is only since blockchain technology was invented that reasonable solutions are being found. As B2B Connect is a distributed ledger, it may be the only this type of system which is sufficient for the secure movement of money. The fact that Visa is so closely tied with the blockchain is impressive news, as it means that large institutions are taking the industry seriously. Whether this is a good or bad thing is up for debate— some are primarily fans of cryptocurrency and blockchain technology because they believe that it will unshackle the masses from corporate domination, whereas others welcome moves such as Visa’s because they think the technology will only be taken seriously when it attaches itself to traditional tools.
How does B2B Connect work?
Perhaps the most significant feature of B2B Connect is that it tokenizes every aspect of a business’s information. Banking details, account numbers, and other specific data will be given a “unique identifier.” This improves the level of safety which can be provided, while also improving the connectivity of finances— it makes cross-border transactions simple. It also allows fraud checks to happen more seamlessly than ever before.
Kai is a cryptocurrency copywriter and professional trader. He can often be found investigating various cryptocurrencies, whitepapers, and blockchain technologies. Kai has been a professional writer for 5+ years, and has invested in 50+ different coins and tokens. He also currently studies Law and Philosophy at university.