UAE’s banking giant Emirates NBD is spearheading blockchain initiatives in the region and has become the first to go-live at scale with Cheque Chain.
Cheque Chain integrates blockchain technology into cheques to strengthen their authenticity and minimize potential fraud. In its official release, Emirates NBD explained how the solution works:
“Cheque Chain enables a unique QR (Quick Response) code to be printed on every leaf of newly issued cheque books. The unique code registers each cheque on the bank’s blockchain platform, ensuring that once the cheque is received and cleared under the bank’s ICCS technology, bank staff can validate the cheque’s authenticity and have access to its source at all times. In doing so, this significantly reduces the risk of fraud by making cheque forgery much more difficult.”
The bank said that it rolling out the solution across the UAE, which follows a successful pilot last year overseen by Emirates NBD Future Lab. In its first month, it registered close to one million leafs using blockchain and is now exploring the possibility of opening its blockchain platform to collaborate with other UAE financial institutions.
"Aligned to the Dubai Blockchain Strategy launched by H.H. Sheikh Hamdan bin Mohammed bin Rashid Al Maktoum, Crown Prince of Dubai, Emirates NBD is committed to exploring commercial uses for this innovative technology. After a successful pilot phase, we are pleased to roll out Cheque Chain to our customers nation-wide, becoming the first bank in the region to offer this service. This initiative will significantly strengthen our risk and security management processes, particularly through the reduction of cheque fraud,” Abdulla Qassem, Group Chief Operating Officer at Emirates NBD, said.
