Bangladesh conducts its first Shariah-compliant blockchain transaction.

City Bank, based in Bangladesh, in partnership with the International Islamic Trade Finance Corporation (ITFC), issued a blockchain-based letter of credit compliant with Sharia law, according to Finance Magnates.

Participants in the transaction used the Countour network based on the Corda technology from the R3 consortium. The letter-of-credit operation was financed by ITFC’s division that specializes in [simple_tooltip content=’торговое соглашение, при котором продавец прямо называет понесенные затраты на товар и продает его с заранее оговоренной наценкой’]murabaha[/simple_tooltip].

“This transaction will pave the way for improving digital trade with blockchain technology,” said Sheikh Mohammad Maruf, head of the Wholesale Banking and Trade Services division at City Bank.

Earlier in September 2020, Brazilian Vale conducted a blockchain-based iron ore deal.

Earlier, Standard Chartered issued a blockchain-based letter of credit.

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