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The blockchain-based platform called Olea is a product of a joint venture between Standard Chartered (StanChart) and Chinese supply chain financial technology firm Linklogis.
Reinventing Trade Finance Through Blockchain Tech
The financial giant’s new joint venture Olea will be headquartered in Singapore and is aligned towards institutional investors looking for new assets and businesses that require supply chain financing. The platform will apply blockchain tech to attract these investors to participate in supply chain financing as an alternative asset class. The idea is to combine StanChart’s trade finance and risk management skills with supply chain technology developed by Linklogis.
It will offer investment options that match up to the individual risk profiles of the investors, along with access to global trade finance assets with a focus on Asia and insights on asset quality.
Supply Chain Partner Linklogis
Amelia Ng, the MD of SC Ventures, the fintech and ventures unit of Standard Chartered, will be the CEO of the platform. At the same time, Letitia Chau, vice chairman and chief risk officer of Linklogis, will support her as deputy CEO.
Ng gave a statement, saying,
“By marrying Standard Chartered’s international trade and risk management expertise and unparalleled knowledge of Asia, Africa, and the Middle East with Linklogis’ innovations in supply chain technology, Olea is uniquely positioned to reinvent trade finance and be a force for good.”
This is not the first time Standard Chartered has worked with Linklogis. Back in 2019, they had partnered up to jointly develop supply chain finance services and explore other avenues of the ecosystem. Furthermore, StanChart had also purchased an equity stake in Linklogis in 2020.
StanChart’s Previous Crypto Ventures
Standard Chartered has shown continued interest in different crypto ventures in recent months. Earlier in June, the banking giant announced plans to establish a cryptocurrency exchange and brokerage platform in the UK and Europe to connect institutional traders with parties trading in different crypto and digital assets. It resulted from a partnership between StanChart and BC Technology Group, a Hong Kong-based firm that operates the first digital assets platform licensed by the Hong Kong Securities and Futures Commission. The platform will be headed by BC Group CIO Usman Ahmad as CEO and Nick Philpott of SC Ventures as COO and is scheduled to launch in the final quarter of 2021.
Additionally, SC Ventures has also been involved with Northern Trust to launch Zodia Custody, an institutional-grade custody solution for digital assets. SC Ventures has also invested in blockchain technology in a partnership with Metaco, an orchestration platform for businesses.
