The Central Bank of Lithuania is in its final phase of selecting a blockchain service provider. Tech giant IBM and its counterpart in IT services, Tieto, are the finalists out of those that had initially placed a bid on the project.
This project dubbed by Lithuania’s Central bank as LBChain is likely to commence towards the end of 2019 once they settle on a service provider. The regulator will put to test both blockchain designs presented to it by IBM and Tieto for a market fit test.
Andrius Adamonis, the project manager assigned by Lithuania Central Bank, noted that its goal was to create a versatile ecosystem that can accommodate the future. He went on to further add that the blockchain would also meet its current needs based on the products currently regulated by the Central Bank of Lithuania.
The Fundamental Features on LBChain
According to Adamonis, the LBChain blockchain platform will be powered by both Corda and Hyperledger. This software approach will make it possible for expansions and new financial product tests in future. Basically, a good part of the model revolves around scalability hence the use of Hyperledger and Corda as base technologies.
Other than the LBChain, Lithuania through its Central Bank has given blockchain tech a go in major financial ecosystems. The bank tried leveraging digital ledgers for Know Your Customer and Anti-Money Laundering functions. In addition, they are currently looking at cross-border payment solutions and a trading platform that can facilitate securities transactions without being listed.
Tech leader, IBM, on the other hand is also making milestones within the blockchain service provision industry. The IT firm is currently working with Softbank and TBCASoft to create a cross-border payment solution for telecommunication carriers.