First loan based on the blockchain technology was issued in China ,were the agricultural land was used as a backup asset.
One of the largest Bank in World by assets in China ‘The Agricultural Bank Of China’ has issued a loan in Guizhou province for the farmers and the business that own agricultural land in China. As per a local news reporting:
“the bank will deploy loan system for the rural people in china who own agricultural land through the blockchain system to support the local tea industry, farmers, local business etc.”
To facilitate the process, The Agricultural Bank Of China said this blockchain system would be deploy decentralized ledger technology standards across various node partners, including other commercial banks, the provincial branch of the People’s Bank of China and the local government’s Land and Resources Bureau using the same piece of land as collateral.
To adopt industry wide standards through China and Hong kong, a decentralized automated network to issue loans to agriculture merchants is being developed at a considerable speed. Recently in this month China’s technical committee also made an announcement to develop standardization in the blockchain technology.