A bank in Argentina namely, Banco Masventas (BMV) might become the first bank in the world to use bitcoin for customers international payments.
Banco Masventas (BMV) announced through their Facebook page, that have teamed up with Bitex, a local blockchain financial service startup.
This partnership of BMV and Bitex will provide the customers access to make cross-border international payments using Bitcoin.
Bitex was founded in 2014 and is a regional bitcoin exchange connecting Latin American countries. It uses bitcoin for the international transaction as an alternative for SWIFT.
SWIFT stands for Society for Worldwide Interbank Financial Telecommunication. It is the world’s largest electronic payment system which is also bank-to-bank messaging system.
BMV has said that their new service allows the customers to transfer money from account to account consuming less time than there traditional bank transfers. According to BMV, the transfer time is said to reduce up to 24 hours.
A principal shareholder of Malvinas, José Humberto Dakak said, “One of the initiatives is to use Bitex as a strategic partner to provide our overseas customers with payment and collection services at the Bitex Exchange.”
He also said that this initiative is taken to strengthen the bank’s digital and smartphone-based services and also reduce the banking service cost.
Apart from quick transactions, Bitrex claims that they can provide more secure transactions. Having a look at the website of Bitex, they follow the strictest rules and KYC ( know your customer ) measures.
They have also hired Deloitte, which is one of the big accounting and auditing firm. Deloitte is going serve as an impartial third party to review and report on operations, procedures, balances, and funds of users and the company.
Manuel Beaudroit, chief marketing officer of Bitex said, “The customers will ask the bank to do an international payment, and the bank uses Bitex as a provider. For the customer, it’s transparent, they don’t touch, they don’t see the bitcoin. We are a provider for them, and they are not touching bitcoin.”