Enterprise technology and services provider R3 has signed a Memorandum of Understanding (MOU) with the Asian Development Bank (ADB) to explore the use of distributed ledger technology (DLT) in driving digital transformation for the organisation. The partnership will seek to support ADB’s efforts, such as the proof-of-concept (POC) project, involving R3, aimed at establishing a cross-border multi-currency securities settlement system based on distributed ledger technology (DLT) in Asia Pacific.

The MOU will reportedly support the collaboration in exploring the relevance of DLT for ADB’s institutional priorities and in support of its operational priorities. The partnership will also explore DLT use cases in key industry verticals such as Sustainability, Accountability and Traceability, Digital Assets, and Identity and Know Your Customer (KYC) across the region. This is set to broaden the reach of DLT across industries in the region and catalyse the technology’s innovation and adoption through real-world examples of its utility and impact, according to the press release.

As part of the scope of the agreement, ADB’s potentially qualified startups will also be referred to R3’s Venture Development Programme – dedicated to accelerating and cultivating multi-party applications built on R3’s Corda and Conclave platforms, by early-stage startups to shorten their time to market. The partnership will seek to facilitate the exchange of information and bolster capacity-building efforts to digitally transform ADB in line with its institutional priorities as well as in anticipation of a digital future and evolving ecosystems. Both ADB and R3 will embark on collaboration and analytical work on Proof of Concept (POC) projects related to DLT deployment during the collaboration period.

According to the CEO and Founder at R3, DLT has proven itself as a core technology for organisations to minimise risk, improve efficiencies, and enable greater collaboration across industries in recent years. The financial industry is making significant advancements on this front, the press release concludes. More about R3 R3 is a provider of enterprise technology and services that reportedly enable direct, digital collaboration in regulated industries where trust is critical.

The present partnership is not the only time the two organisations partnered. In February 2022, R3 and ADB teamed up to improve cross-border payments across Asia. The collaboration was set to make cross-border transactions in APAC more efficient and secure through blockchain and facilitate discussions in the Cross-Border Settlement Infrastructure Forum (CSIF) of the Asian Bond Markets Initiative (ABMI).

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