At the Asia launch of the fifth edition of 'Global Public Investor 2018' published by OMFIF, hybrid blockchain company XinFin encouraged central banks, development banks, pension funds and insurance companies to form a consortium to bridge the $15 trillion global infrastructure gap.
Speaking on the panel, Business Development Head, Joseph Appalsamy, addressed how blockchain can help such a consortium; "Only twenty-five percent of GPIs invest in early stage projects and the reason is risk, so we said 'can blockchain help de-risk project finance, can it lower transactional costs, can it automate and streamline the processes, can it provide real-time asset performance data and can it create an exchange' and the answer is yes."
XinFin claims through asset tokenization of physical infrastructure they can help development institutions take out some of those loans which are no longer risky from their books and can indeed be sold on to insurance companies that want a utility-type rate of return.
XinFin proposed to the GPIs that though blockchain is being experimented with in silo, that it should be done in a consortium to standardize the development of Infrastructure as an Asset Class (IAC) using asset tokenization in a sandbox environment - henceforth called Project Sandbox. GPIs interested in consortium membership can click on https://www.tradefinex.org/publicv/partnership and become a part of the global campaign.
Atul Khekade, Ecosystem Development Head said, "Using ERC-721 and DLT integration on the XDC Protocol, XinFin allows institutional investors to crowd-in capital for fractional ownership of major infrastructure projects, thus lower exposure risk and increasing liquidity. Large investors can diversify infrastructure investment by investing the same allocation into multiple projects and smaller investors can access infrastructure investments previously too large for consideration."
TradeFinex IAC consortium aims towards developing best practices, standardization of instruments and working with the regulators fitting it into an appropriate policy and compliance framework.
The launch was preceded by earlier discussions on climate change with the Bank for International Settlements (BIS), a key area of interest for XinFin as its proof-of-stake consensus blockchain demonstrates that energy-intensive mining is no longer required for enterprise grade hybrid blockchain applications, making it a 'green blockchain'.
XinFin is a global open source Hybrid Blockchain protocol/platform with independent community contributors comprising of long-term backers, network utility and tech developers.