Standard Chartered Bank opened the world's first transnational blockchain letter of credit denominated and settled in offshore RMB through the outline of blockchain trade financing platform.

Standard Chartered Bank was formed by the merger of two British overseas banks: Standard Bank of South Africa and Standard Chartered Bank of India, Australia and China. Standard Chartered Bank is an established bank established in 1853 under the charter of Queen Victoria.

As one of the oldest foreign banks in China, Standard Chartered Bank has never stopped its business in China since 1858 set up its first branch in Shanghai. 1969, merged with standard bank. In April 2007, Standard Chartered Bank (China) Limited became one of the first local corporate banks. In 20 19, Standard Chartered Bank won many awards and honors from the government, industry organizations and the media, including the Shanghai Financial Innovation Award of the Shanghai Municipal People's Government, the top ten classic enterprises of institutional innovation in Shanghai Pilot Free Trade Zone, the best sustainable financial bank in global finance, and the best green financial institution in China Business News.

1. What are the settlement methods of letters of credit?

After the bank examines the documents, the letter of credit enters the settlement stage. Article 10 of the Uniform Customs and Practice stipulates that all letters of credit must be clearly marked as applicable to immediate payment, deferred payment, acceptance or negotiation.

1, pay immediately

(1) The payee sends the document to the paying bank.

(2) The bank will pay the beneficiary after reviewing the documents and terms of the letter of credit.

(3) If the bank is not the issuing bank, the documents will be sent to the issuing bank for collection in a pre-agreed way.

2. Deferred payment

(1) The beneficiary sends the documents to the bank that bears the deferred payment.

(2) After the bank verifies that the documents are in conformity with the terms of the letter of credit, the payment shall be made on the due date stipulated in the letter of credit.

(3) If the bank is not the issuing bank, the documents will be sent to the issuing bank for collection in a pre-agreed way.

3. Acceptance draft

(1) The beneficiary sends the documents of the issuing bank and the usance draft to the bank (accepting bank) that handles the letter of credit.

(2) The bank accepts the draft and returns it to the beneficiary after checking that the documents are in conformity with the terms of the letter of credit.

Step 4 negotiate

(1) The beneficiary shall send the documents together with the drawee's sight draft or deferred draft stipulated in the letter of credit to the negotiating bank in accordance with the provisions of the letter of credit.

(2) The negotiating bank can purchase documents and drafts after checking that the documents are in conformity with the provisions of the letter of credit.

(3) If the negotiating bank is not the issuing bank, it shall submit documents and drafts to the issuing bank in the form agreed in advance for claim.