Transatlantic Shipment of Metals Financed via FQX eNote

Published 

Zurich – FQX announces another set of successful transactions via eNote, or electronic promissory note. The eNotes with a total value of more than USD 500’000 were used by a Swiss commodity trader to finance a transatlantic metal shipment. The transaction was facilitated using sensor and tracking devices by the Swiss supply chain management service provider ARVIEM.

  • Every eNote is securely registered on the Swiss Trust Chain by Swisscom and Swiss Post and signed with qualified electronic signatures
  • Financing trade with eNotes has the potential to ease the pressure on the increasing global trade finance gap of over USD 2 trillion
  • The eNote, using an ISIN, provides attractive and easily transferable investment opportunities to investors

Complex traditional financing processes often hinder companies in their growth. These barriers contribute to a global trade finance gap of over $2 trillion. Electronic promissory notes offer a remedy. Promissory notes are a widespread traditional financial instrument that enable companies and individuals to obtain finance on the basis of an unconditional promise to pay. In electronic form, as eNotes, they offer unprecedented flexibility and efficiency in trade and corporate finance. By storing the eNote on the Swiss Trust Chain of Swisscom and Swiss Post, transactions are fully digital and fraud risk is minimised. Liquidity flows directly to the companies that need financing without the need to involve other intermediaries.

FQX announces two further successful financings via eNote for a total of more than USD 500’000. The two electronic promissory notes were used to finance transatlantic metal shipments by a Swiss commodity trader. A private investment firm financed the transaction and generated an attractive return. No bank was involved in the financing of this transaction. “Electronic promissory notes make liquidity available where it is needed for businesses, while also offering attractive investment opportunities for financial institutions,” says Frank Wendt, FQX Chief Executive Officer. “Each eNote issued via FQX is assigned an ISIN number, making it easily transferable to other investors,” he added.

Each eNote is stored and recorded on the Swiss Trust Chain, a banking-grade DLT-system maintained by Swisscom and the Swiss Post. The integrated qualified electronic signatures used to securely issue and transfer the eNotes on the FQX platform are provided by Swisscom Trust Services.

Roland Cortivo, Head of DLT Infrastructure at Swisscom, comments: “Innovation and trust are at the heart of Swisscom. We are proud to support FQX with our leading electronic signature and DLT infrastructure to support the issuance and transfer of an eNote. This transatlantic delivery versus payment proves why blockchain technology is the key to fully digital business processes.”

The transaction was furthermore facilitated using an ARVIEM tracking and sensor device, allowing for a track and trace functionality which serves to reduce transaction risk. Arviem’s technology provided real-time information to all parties involved in the transaction on the location of the goods also reporting on door openings, intrusions, temperature, container damage and shocks.

“At Arviem we believe in the digitisation of the complete supply chain from eBills of Lading to electronic delivery notes. Our IoT enabled technology serves as the layer between physical cargo and the digital environment of DLT technology connecting specific cargo to financial transactions from container doors closing to doors opening. This provides assurances to allow all the parties in the supply chain to grow their business with confidence” – says Stefan Reidy, CEO of Arviem.

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