Links all'EDW Italian Securitization Event
Ti trovi in:
Links at the EDW Italian Securitization Event
On April 9th, the "2024 Italian Securitization Event," a periodic event organized by European Datawarehouse, took place in Milan. The event covered the latest regulatory and normative updates in the field of securitization and beyond.
In the presentation titled "Blockchain for Credit Transfer," Leonardo Mangia, Director of Banking and Financial Services at Links, introduced an innovative technological solution to support the processes of buying and selling credit portfolios based on blockchain technology and smart contracts.
The idea to address the topic of credit transfer stems from Links' twenty years of experience in credit portfolio management, gained through "Eiko," a funding-oriented application suite that has accumulated a significant informational asset related to the credits of dozens of Italian banking institutions over the years.
The understanding of management processes and the availability of data related to credit portfolios have enabled Links to make strides in the complex issue of credit transfer through technological innovation. The primary goal was to simplify the matching process between credit demand and supply by network-enabling portfolios and data exchange procedures. This approach aims to reduce the time and costs associated with the due diligence phase, which in traditional procedures often limits operations to significant transfer amounts. Blockchain technology comes into play after the initial interactions between institutions, during the actual credit transfer phase following access to detailed credit information (data room). The use of smart contracts simplifies the process of transferring ownership from the transferor to the transferee.
The main outcome of this technological innovation process is a credit transfer marketplace currently being tested by Italian banking institutions. The marketplace is one of the results of "Invisible Business," a research and development program initiated by Links S.p.A. and co-financed by the Puglia Region through the "PIA Medium Enterprises" grant.
