Dubai’s first Islamic financial institution, Dubai Islamic Bank (DIB) has become an official member bank of the first blockchain platform of its kind in the country, UAE Trade Connect (UTC).
The UTC platform, co-created by Etisalat Digital, seven leading banks in the UAE and Avanza Innovations, is built on advanced technologies. UTC is a ‘cloud native’ solution running on Etisalat’s E1 Cloud, supported by distributed ledger technology and built around artificial intelligence (AI) capabilities.
The platform prevents fraud and duplication, detects suspicious transactions and supports multiple types of trade-related documents that must be inspected and validated for authenticity. Combined, its technologies ensure trust, transparency, and privacy between multiple organizations.
“UAE banks work hand in hand to promote financial stability in the nation’s financial system and contribute to UAE’s robust economy. Hence, becoming part of the UTC Digital Trade Platform is one of the major steps we have taken in achieving this milestone. The distributed ledger technology used to create UTC provides DIB and other UAE banks with a decentralized, immutable, and completely transparent way of organizing data that reduces the risk of fraudulent transactions. Until now, a centralized risk mitigation mechanism of this nature was non-existent systemically in the UAE banking sector. The benefits that UTC delivers will not only serve to protect DIB’s customers and the wider banking system but also enhance global trade.”
DIB will also join the UTC steering committee comprising the Central Bank of the UAE (CBUAE) and seven leading UAE banks.
Commenting on the partnership, Mr. Salvador Anglada, CEO of Etisalat Enterprise Digital, stated, “We are excited to have Dubai Islamic Bank, the largest Islamic bank in the country, partner with us, thus strengthening the UTC consortium. This reflects the banking sector’s commitment to accelerate the digital transformation process and prepare the UAE to enter into the new digital banking era. UTC is recognized as one of the most successful use cases for blockchain technology today, and a multi-award-winning platform that leads the way to digitize trade finance in one of the world’s most important trading hubs.”