TORONTO, July 14, 2016 /PRNewswire/ -- ATB Financial, the largest Alberta-based financial institution, has collaborated with SAP SE (NYSE: SAP), financial technology start-up Ripple Labs Inc. and ReiseBank AG in Germany to send the first real international blockchain payment from Canada to Germany.
ATB successfully transferred CA$1,000 (EUR 667) to ReiseBank using a network built on SAP® technology and Ripple's pioneering network of enterprise blockchain solutions. The payment, which would typically have taken between two to six business days to process because of requirements such as settling with the counterparty bank and reconciling accounts, was completed in around 20 seconds.
"Although we are very much still in the early stages of blockchain adoption, it was highly encouraging to see in a true demonstration the potential it has in transforming cross-border payments, making them almost instantaneous and reducing potential errors," said Curtis Stange, chief strategy and operations officer, ATB Financial. "Using SAP HANA Cloud Platform, we're able to experiment and be nimble with emerging innovations like blockchain. The next stage for us, working with SAP and Ripple, will be to understand how the front-end experience should work for the benefit of our customers," he added.
The blockchain, originally created as the foundation for trading the digital currency bitcoin, is a distributed ledger that allows a network of computers to settle transactions almost instantly and with inherent security. Working with a team at ATB Financial, SAP and Ripple designed and built a proof-of-concept prototype based on the technology in nine working days. It demonstrated how banks can improve the efficiency of cross-border payments to enhance their global networks and be competitive on the world stage.
The technology prototype connects SAP HANA® Cloud Platform, the open platform as a service from SAP, and the SAP Payment Engine application, which centralizes payment processing in one solution, with Ripple's network. For the demonstration, SAP provided a mobile user interface through which the payment was executed.
"Banks like ATB that take a positive and proactive approach to blockchain now can position themselves advantageously for when the technology enters the mainstream," said Bernd Leukert, Member of the Executive Board of SAP SE, Products & Innovation. "ATB's blockchain transaction underscores the value of running a business on a full-fledged digital core so it can react quickly to emerging possibilities and avoid the threat of disruption."
In 2011, ATB Financial successfully migrated its entire legacy banking system to a major new core system built using SAP solutions, making it one of the largest scopes of any single project in North American banking. The system has streamlined ATB Financial's business processes and provides analytical insight so the financial institution can deliver innovative products and services through a variety of distribution channels as customers demand.
As market leader in enterprise application software, SAP (NYSE: SAP) helps companies of all sizes and industries run better. From back office to boardroom, warehouse to storefront, desktop to mobile device – SAP empowers people and organizations to work together more efficiently and use business insight more effectively to stay ahead of the competition. SAP applications and services enable approximately 310,000 business and public sector customers to operate profitably, adapt continuously, and grow sustainably. For more information, visit www.sap.com.
Any statements contained in this document that are not historical facts are forward-looking statements as defined in the U.S. Private Securities Litigation Reform Act of 1995. Words such as "anticipate," "believe," "estimate," "expect," "forecast," "intend," "may," "plan," "project," "predict," "should" and "will" and similar expressions as they relate to SAP are intended to identify such forward-looking statements. SAP undertakes no obligation to publicly update or revise any forward-looking statements. All forward-looking statements are subject to various risks and uncertainties that could cause actual results to differ materially from expectations. The factors that could affect SAP's future financial results are discussed more fully in SAP's filings with the U.S. Securities and Exchange Commission ("SEC"), including SAP's most recent Annual Report on Form 20-F filed with the SEC. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of their dates.
© 2016 SAP SE. All rights reserved.
SAP and other SAP products and services mentioned herein as well as their respective logos are trademarks or registered trademarks of SAP SE in Germany and other countries. Please see http://www.sap.com/corporate-en/legal/copyright/index.epx#trademark for additional trademark information and notices.
For customers interested in learning more about SAP products:
Global Customer Center: +49 180 534-34-24
United States Only: 1 (800) 872-1SAP (1-800-872-1727)
To view the original version on PR Newswire, visit:http://www.prnewswire.com/news-releases/atb-financial-sends-one-of-the-worlds-first-real-time-payments-from-canada-to-germany-using-blockchain-technology-supported-by-sap-300297708.html
SOURCE SAP SE