Cross Border Compliance Blockchain Technology
Globalization is driving corporations to transact more frequently across borders. The challenges for global payments are not simply those resulting from volume increases. A number of economic, political, and technical forces are changing the types of cross-border transactions conducted.
The current inefficiencies of the traditional cross-border payments drives costs higher than ever before and both domestic and international structures cannot handle the speed and volume of these transactions resulting from globalization.
To make it simple let’s use an example for a Company A in the United States to send capital to Company B in Tokyo Japan,Company A has to go through it primary bank then the primary Bank to a Bank registered with CHIPS [The international regulatory body] then through CHIPS to a bank associated with CHIPS then the primary bank of Company B in Tokyo then ONLY the Company B receives the funds.
Cross-border payments are intrinsically inefficient because there is not one single ubiquitous global payment system. There are three challenges that must be overcome in order to improve the cross-border process:
1. Most payment systems are based on local laws and practices within existing domestic banking and financial structures.
2. Lack of a common global standard and variations between systems have reduced the ability of both bank and corporate treasury/enterprise systems to seamlessly pass data between each other.
Government regulations are changing how payments are made. Payments are subject to domestic regulations which compound the challenges of cross-border payments because often rules vary between an originating and receiving country.
Cross Digital Transact aims to resolve the current inefficiencies with compliance block-chain technology ensuring that all corporate companies transacting within the block-chain have a low cost , secure ,fast , immediate and a compliant transnational transacting experience.
CDT is not owned by any single one party. Instead, it is an open distributed network of validators which enforce behavior of all participants. It uses the mechanism of a protocol token to create a proof-of-stake blockchain to enable enforcement of market activity among all participants. This high-performant distributed network enforces exchange and compliance across asset & transact classes, from a fully decentralized compliant block-chain.
Technology ensuring a faster en more efficient transacting experience for all participants in the cross border compliance blockchain.
