One of China’s leading fintech companies is pioneering the use of blockchain technology in relation to online financial products.
Lufax announced on 4 March that it had become the first fintech company in China to integrate blockchain technology into its platform operations, applying the technology to user identity verification and the tracing of online loan transactions.
A Lufax representative said to China Securities Journal that the “blockchain verification” online loan product uses distributed ledgers to enable investors to trace original information on debt products and verify their authenticity at all stages of the credit extension process.
In addition to this Lufax is also trialling the use of blockchains with other financial products, including asset management, trust and private fund-raising products.
Lufax said that it will further cooperate in future with investment institutions and regulatory authorities to create reliable, multi-party blockchain products.