Tether facilitates $45 million crude Middle East oil transaction

Tether facilitates $45 million crude Middle East oil transaction

Tether, issuer of stablecoin USDT, through its Investment division has financed a physical crude oil transaction, in the Middle East, between a publicly traded super-major oil company and a top-tier commodity trader worth $45 million. The transaction which was completed in in October 2024, facilitated the loading and transporting of 670,000 barrels of Middle Eastern crude oil. This was Tether Investments’ first crude oil transaction in the region.

Launched earlier this year, Tether’s Trade Finance business has quickly scaled to support the $10 trillion trade finance industry by providing accessible capital solutions that streamline and modernize global trade flows. This new venture, part of Tether Investments, is separated from Tether’s Stablecoin reserves and leverages the company’s high profitability as demonstrated in its recently published quarterly attestation for Q3/2024. Tether aims to help drive positive change within the trade finance industry by providing flexible capital solutions to a wide range of companies and driving efficiency in trade flows through its stablecoin, USD₮.

“Tether Investments’ financing of this significant crude oil transaction underscores our commitment to reshaping the trade finance landscape,” said Paolo Ardoino, CEO of Tether. “With USD₮, we’re bringing efficiency and speed to markets that have historically relied on slower, more costly payment structures. This transaction marks the beginning, as we look to support a broader range of commodities and industries, fostering greater inclusivity and innovation in global finance.”

Tether is driving the use of USD₮ in trade finance transactions, which lowers costs and reduces payment times – a distinct benefit over traditional lending – while leveraging top-tier compliance and AML standards, boosted by the transparency of blockchain networks.

Tether has been steadily growing its presence in the Middle East announcing that it will be launching the AED stablecoin in UAE. 2024 is proving to be a landmark year for stablecoins in the UAE. Through the first half of the year, the value of stablecoins received by services, particularly on centralised and decentralised exchanges (CEX and DEX) in the country totalled over $9.8billion, a 55 per cent spike over the $6.3billion received over H1 2023.

Consequently, stablecoins now account for the largest share of crypto activity in the UAE (51 per cent), which stands significantly higher than both Bitcoin (19 per cent) and Ether (9 per cent), which are typically considered to be the most recognized and popular cryptocurrencies.

UAE based ASSNTURE launches its Blockchain trade finance Tradedesk

UAE based ASSNTURE launches its Blockchain trade finance Tradedesk

ASSNTURE Limited, registered in Abu Dhabi ADGM ( Abu Dhabi Global Market) as a technology startup providing Asset Tokenization and Digital Assets Infrastructure Solutions, has launched “TradeDesk,” a blockchain-based platform designed to revolutionize the management and settlement of trade finance transactions for finished goods, raw materials, and commodities.

TradeDesk leverages blockchain technology to enable frictionless finance, tracking, verification, and settlement of trade transactions. This platform enables businesses to invite and transact on international trades ensuring governance and transparency throughout,
whilst providing a secure and efficient digital network for seamless, transactions

This innovation offers its users unmatched efficiency and security by ensuring security and trust between all parties involved, whilst also providing users the ability to leverage liquidity on trades through the tokenization of the goods themselves. This allows sellers to obtain upfront liquidity for the goods in trade, providing immediate cashflow.

“With TradeDesk, we are transforming the trade finance landscape by providing businesses with a secure, peer-to-peer digital solution that streamlines the entire trade process,” said Ihsan Khelef, Co-Founder & MD at ASSNTURE Limited. “Our platform not only enhances the speed and transparency of transactions through blockchain, but also fosters trust between buyers and sellers, making trade finance more accessible and efficient.”

Designed for businesses of all sizes, TradeDesk simplifies the complexity of international trade, allowing users to manage and settle transactions in real-time. By removing the reliance on banks and other financial intermediaries, TradeDesk empowers businesses to focus on growth and innovation, without the challenges and costs of traditional trade finance models.

SBI Holdings launches its blockchain JV with UAE Tradefinex

SBI Holdings launches its blockchain JV with UAE Tradefinex

Japanese SBI Holdings continues to forge stronger partnerships in the MENA region with the announcement of the launch of its joint venture SBI XDC Network APAC with UAE based TradeFinex.

TradeFinex is the promoter of XDC Network, an enterprise-focused blockchain for the purpose of enhancing efficiency in trade finance. Prior to this in September 2023, the two entities had announced that they would be creating the joint venture.

The purpose of the joint venture is to develop the XDC Network which is a community-driven platform established in 2017 specifically designed for trade finance and payments. It provides a smart contract system that facilitates global trade operations through the tokenization of real-world assets (RWAs) like bonds, tokenization of trade assets, and digitization of trade documents, on high-speed, highly secure, and low-cost blockchain.

Up to now, the SBI Group has been providing various services related to the XDC Network, including becoming the Japan’s first exchange to start handling XDC tokens, through a partnership agreement with SBI VC Trade Co. Ltd. (Head office: Minato-ku, Tokyo; President: Tomohiko Kondo), a company providing crypto asset exchange services within the SBI Group.

Moving forward, the SBI Group will not only focus on services related to the XDC token, but also strive to expand the use cases of the XDC Network’s blockchain technology in global economic activities,  particularly in the fields of trade finance and cross-border payments.

According to the press release, “As the first project after the establishment of the joint venture, we have started a proof-of concept (PoC) experiment that connects XDC Network and the Corda platform provided by SBI R3 Japan Co., Ltd and Corda Bridge provided by US based IMPEL GLOBAL. In this experiment, FIAT payments generated by business-to-business transactions will be conducted in XDC via Corda and Corda Bridge. By utilizing a hybrid blockchain with both private and public characteristics, it is possible to provide a one-stop service that settles both private, such as information of transactions, and public, such as the transfer of value, at once. As a result, this offers an efficient and smooth payment method for cross-border transactions including international trade, compared to conventional fiat currency transactions.”

SBI Holdings over the past months has been forging a variety of partnerships across the region. It signed an MOU with Saudi based Aramco, for digital assets research. SBI Holdings also announced a partnership with Standard Chartered to launch a $100 million Fund in the UAE to also establish a digital asset joint venture.

DP World fintech platform partners with Blockchain UAE Trade Connect

DP World fintech platform partners with Blockchain UAE Trade Connect

DP World, Fintech owned platform, DP World Trade Finance has partnered with Blockchain enabled UAE Trade Connect to transform trade finance and combat fraud across the UAE.

DP World Trade Finance can leverage Blockchain enabled UAE Trade Connect platform to detect fraudulent and suspicious invoices as a risk mitigant for its lending capability.

DP World Trade Finance is the first non-bank financial institution participant with direct lending capabilities and embedded fintech value proposition to join the UTC consortium. Created in 2021, UTC is a blockchain-enabled consortium-led trade finance solution co-created by e& enterprise and the UAE banking industry.

Sinan Ozcan, Senior Executive Officer of DP World Trade Finance, said, “If we are to address the trade finance gap truly, we need organizations to work together to build transparency and security into financial processes.”

Zul Javaid, CEO of UTC, said, “DP World Trade Finance’s addition to the UTC consortium is a step in recognising that the country’s lending ecosystem is diversifying, with emerging fintech companies and alternate lenders entering the space.”

DP World Trade Finance connects businesses with financial institutions, directly offering trade finance facilities. Ozcan said the DP World subsidiary hopes to work with UTC members to transform trade finance by building transparency into the lending process.

In October 2023, UAE Trade Connect added its 13th bank member, Invest Bank.

Blockchain enabled UAE Trade Connect adds 13th bank to its platform

Blockchain enabled UAE Trade Connect adds 13th bank to its platform

Blockchain Trade Finance platform combating fraud, UAE Trade Connect has just added its 13th bank member. Invest Bank will be the 13th bank to join UAE Trade Connect which is paving the way for a secure, efficient and technologically advanced trade finance landscape.

Initiated in 2021 as a collaborative project between the banking industry and e& enterprise, UTC utilizes cutting-edge technologies such as blockchain, Artificial Intelligence (AI), and machine learning to offer a cloud-native solution. This solution enhances transparency by digitizing trade-related documents in real time, detects suspicious transactions, and prevents fraud.

Zul Javaid, CEO, Trade Connect said: “Invest Bank’s inclusion in the UTC consortium demonstrates our commitment to strengthening the UAE banking industry while also playing a fundamental role in advancing the nation’s digital strategy and contributing to its ambitious growth plans. Our platform is not just a technology solution; it serves as a driving force for economic growth and ensures enhanced risk management.”

Helmi Abdullah, Chief Wholesale Banking Officer, at Invest Bank said: “Joining UAE Trade Connect as a member bank is a significant milestone in our journey, as it reinforces our commitment to enhance our digital trade capabilities supports our growth of Trade Finance business in a secure and efficient manner. This decision demonstrates UTC’s dedication to raising banking standards in the UAE.”

As an official member, Invest Bank gains access to a robust system that validates trade finance transactions, identifies duplication, and combats potential fraud in real time. This empowers the bank to make informed lending decisions, increasing lending confidence and safeguarding funds.

The UTC blockchain platform plays a pivotal role in enhancing lending confidence and transparency, facilitating increased lending opportunities towards mitigating risks, enhancing operational efficiency, and validating invoice transactions worth over AED 170 billion equivalent to $46 billion while detecting multi-million-dirham frauds. UTC has made significant progress towards establishing itself as a national invoice registry.

UAE Trade Connect seeks to expand its offering to other banking entities in the region. In a recent LinkedIn post, Zul Javaid, CEO of UAE Trade Connect, the UAE’s first trade finance platform to combat fraud, announced that they had hired Wissam Massud to lead their international expansion. One of the countries on its list is KSA.

Emirates NBD invests in Blockchain trade finance platform

Emirates NBD invests in Blockchain trade finance platform

UAE based Emirates NBD has inveted in Blockchain enabled Komgo, trade finance platform.

As per the press release, the strategic equity investment was made by Emirates NBD’s Innovation Fund, the Bank’s corporate venture fund.  The fund created in early 2023, aims to strengthen synergies from strategic partnerships by combining the Bank’s digital ambitions and regional expertise with the agility and technological innovations of fintech companies.

Emirates NBD’s corporate venture capital arm will enable the Group to make investments in tech start-ups and companies that further support its digital strategy. The Innovation Fund’s mandate is to invest in a wide range of stages, from early to growth, depending on the strategic fit for the Group, with the aim of delivering strategic benefits and realising a long-term return from investments.

Komgo’s solutions empower Treasury, Credit, and Trade Finance operations, streamlining communications and strengthening operational capacity for more than 10,000 enterprise users worldwide. From its Swiss roots, the company has expanded to key international locations including Singapore, Paris, London, Toronto and Houston, and is trusted by a diverse customer base that includes more than 200 multinational corporations and global trade banks. Approximately USD 1 billion in transaction value flows through the Komgo Network each day.

Komgo has two main products, Trakk which logs documents, creating a digital fingerprint on its blockchain, and  Konsole that matches corporates with banks and offers several solutions including various digital letters of credit and guarantees.

Ahmed Al Qassim, Group Head of Wholesale Banking, Emirates NBD, said: “Our strategic equity investment in Komgo reflects our commitment to constantly innovate and develop tech solutions that can accelerate business processes. We recognise how the fast-changing fintech landscape impacts our industry and we will continue to find and support the next generation of technologies that will help us shape the future of finance and to further strengthen our position as one of the leading financial institutions in the region.”

Souleïma Baddi, CEO at Komgo commented, “We are delighted that Emirates NBD has taken a strategic equity stake in Komgo, becoming the first Middle Eastern bank to hold shares in the company. This marks a significant milestone and a powerful affirmation of Komgo’s solid track record and promising future.”

Souleïma Baddi  CEO at Komgo used to sit on the board of VAKT which also utilizes blockchain to enhanve trade finance.

Prior to this Emirates Bank was one of the founding banks for UAE’s Blockchain fraud detection platform UAE Trade Connect.

UAE Trade Connect is now seeking to its expand its membership based out of the UAE Banking sector to other GCC countries including KSA.

Blockchain UAE Trade Connect hires International expansion Officer for GCC and MENA region

Blockchain UAE Trade Connect hires International expansion Officer for GCC and MENA region

In a recent LinkedIn post, Zul Javaid, CEO of UAE Trade Connect, the UAE’s first trade finance platform to combat fraud, announced that they had hired Wissam Massud to lead their international expansion.

As per the post, Massud will define market-entry strategies as UAE Trade Connect widens its horizons to GCC, other Middle East, Africa countries.

In the post, Javaid states, “We know that UTC’s unique #blockchain technology addresses a real-life pain for banks and tradefinance lending everywhere, so we fully expect to be knocking on lots of countries’ doors in the coming year.”

Prior to this announcement, In May 2023 Zul Javaid coming back fro a recent participation at Global Trade Review conference in KSA had noted that UAE Trade  Connect was interested in offering its solutions to the Saudi Arabian banking sector.

As per Javaid, “The Kingdom of Saudi Arabia is a robust banking market, and we are very keen to bring our unique blockchain and AI based engine into the country to help banks de risk their trade finance lending.”

UAE Trade Connect currently has 11 UAE banks among its members and has surpassed $27 million in transactions identifying interbank duplicate financing and preventing fraud attempts.

Blockchain trade finance platform UAE Trade Connect processes $27 million in transactions

Blockchain trade finance platform UAE Trade Connect processes $27 million in transactions

Blockchain trade finance platform for banks in the UAE, UAE Trade Connect, an e&enterprise company has announced that it has surpassed $27 million in transactions identifying interbank duplicate financing and preventing fraud attempts.

According to their LinkedIn post, “ This accomplishment serves as a testament to the unwavering dedication and commitment of the 12 leading banks in our consortium to combat fraud in real-time. As we move forward, we remain committed to continuously improving our platform’s capabilities and staying ahead of evolving #fraud tactics.”

UAE Trade Connect includes the following UAE banks, Abu Dhabi Commercial Bank, ADIB – Abu Dhabi Islamic Bank, Al Masraf, Commercial Bank of Dubai, Commercial Bank International, Dubai Islamic Bank, Emirates NBD, First Abu Dhabi Bank (FAB), Mashreq Corporate & Investment Banking Group, National Bank of Fujairah, RAKBANK and United Arab Bank.

UAE Trade Connect  is seeking  to offer its solution to Saudi banking sector.

UTC, the fintech blockchain platform of e& enterprise, is the UAE’s first commercialized solution to combat fraud in the trade finance space built on advanced technologies, namely blockchain and Artificial Intelligence (AI). UTC is a collaborative project of the banking industry and co-created with e& enterprise. It was developed by UAE based Avanza Innovations.

US Blockchain deposit token entity built on Corda sets up in Abu Dhabi UAE to offer borderless finance

US Blockchain deposit token entity built on Corda sets up in Abu Dhabi UAE to offer borderless finance

US blockchain deposit token infrastructure provider which ues Corda by R3 to bring CBC deposit token infrastructure , Fluent Finance has expanded into the MENA region with the opening of its operations in Abu Dhabi, UAE under the new name, Fluent Economic Bridge. Fluent Finance will offer trade finance and cross border payments with the support of UAE Ministry of Economy.

Fluent Finance’s new UAE entity, named Fluent Economic Bridge, will be focused on deposit token infrastructure, promoting cost-effective and borderless trade finance between Abu Dhabi banks and global markets. The company is currently procuring a trade license from Abu Dhabi Global Market (ADGM), an integral part of Fluent’s mission to offer dependable digital asset services to its UAE partners and the global trade community.

On twitter, Fluent Finance stated, “ We’ve expanded into the MEA region, setting the stage for the next chapter in UAE’s FinTech innovation, delivering our leading-edge deposit token infrastructure to Abu Dhabi.” 

They add,  “ The newly formed Fluent Economic Bridge in the UAE is central to this initiative. We’re set to enable cost-effective, borderless trade finance between Abu Dhabi banks and global markets, contributing to the UAE’s global trade expansion. Deposit Tokens will herald the next chapter of UAE’s Fintech Innovation, transforming trade finance and improving cross-border settlements.”

Fluent Finance is a US-based blockchain development and fintech company that is building deposit token infrastructure to help bring trade finance on-chain. Fluent’s primary product is Plus, a stablecoin backed by a consortium of banks to ensure reliable and verifiable liquidity. Fluent aims to connect DeFi and TradFi without sacrificing the core tenets of Web3.

Fluent Finance’s CEO, Bradley Allgood, has meticulously evaluated jurisdictions worldwide before deciding on UAE as the prime location for Fluent’s expansion. He has offered his insights across multiple roundtable discussions organized by Hub71 to optimize the regulatory sandbox for global trade finance and payment infrastructure.

“The UAE has positioned itself as a global leader for digital assets through their special economic zone initiatives, regulation foresight, and global trade expansion with strategic Memorandums of Understanding (MoUs)”, says Allgood. “We use Corda by R3 as our enterprise layer to bring CBDC-compatible deposit token infrastructure for borderless payments, complementing the UAE as they lead the charge on digital transformation.”

He adds, “I am very much looking forward to seeing deposit tokens improve trade throughout developing regions. With transparent and borderless settlement available to any wallet in the world, those most affected by war or climate change with soul bound tokens could get immediate delivery of aid around the clock, any day of the year.”

Deposit tokens, a novel form of digital assets, offer an innovative alternative to conventional stablecoins. Unlike stablecoins, which are pegged to traditional fiat currencies, deposit tokens are backed by actual deposits and issued by banks, offering more transparency, security, and stability to users.

The recent Memorandums of Understanding (MoU) between the UAE and other global partners like India and China marks a significant milestone in fostering a closer financial relationship between the nations. These MoUs account for more than $100 billion in bilateral trade, with a focus on strengthening the use of new technologies and settlement with digital currency. Deposit tokens issued by commercial banks are poised to offer a borderless missing link to accelerate trade settlement to CDBC.

UAE Trade Finance provider partners with InvoiceMate for AI Blockchain invoice financing

UAE Trade Finance provider partners with InvoiceMate for AI Blockchain invoice financing

UAE Halliday Growth, a non-bank trade finance provider has partnered with Blockchain entity InvoiceMate to offer Blockchain AI powered invoice financing in the UAE. The agreement was signed during the World Token Summit 2023 held in Dubai UAE.

UAE based, InvoiceMate is a blockchain powered platform for trusted & efficient invoice processing, payments & financing.

Speaking to LaraontheBlock Muhammad Salman Anjum, Founder of InvoiceMate, stated, “For us at InvoiceMate, this partnership is very valuable as it brings diversification of experiences to a real venture.”

He adds, “Halliday Growth is an established brand with extensive experience in the UAE market. InvoiceMate is eager to share its tech competency to reach the common goal of financial inclusion for MSMEs in the region. Blockchain and AI powered InvoiceMate offers a sustainable solution for working capital problems of the businesses.  We are looking forward to serve UAE together.”

Prior to this InvoiceMate and Mentor Health in Pakistan partnered to introduce Health Invoice Financing.