Mark Williamson, chief operating officer of FX cash trading and risk management at HSBC, said that the bank’s blockchain-based system has helped it cut the costs of settling foreign exchange trades. According to a February 14 report from Reuters, blockchain enabled the HSBC FX Everywhere platform to save 25 percent compared with traditional methods.
The bank processes between 3,500 and 5,000 trades a day on its “FX Everywhere” system, settling trades worth $350 billion, Williamson told Reuters.
Back in January, the bank said that it had settled 3 million foreign exchange transactions and made a further 150,000 payments over the digital ledger system. Launched in 2018, the blockchain system has been used to “orchestrate payments across HSBC’s internal balance sheets,” Williamson said.
HSBC would not give data on overall forex trades settled by traditional processes, saying only that those settled on the platform represented a “small” proportion.