E-LG (Electronic Letter of Guarantee)
BCI is introducing the world’s first electronic letters of guarantee (e-LG) in Thailand on Blockchain platform, which can help businesses to increase the efficiency by replacing over-the counter-tasks and reputative process in running businesses.
" The objectives of e-LG are to simplify the Letter of Guarantee end-to-end process,
to reduce the use of paper, and to save operation time resulting in creating more accuracy
and transparency in the industry.
Our platform has been commercialised since June 2019 with
the numbers of 26 existing members - 17 banks and 9 beneficiaries. "
Our LG services can help reduce time consuming processes by replacing the document handling and delivering with the secured and certified data in blockchain.
With traditional process of LG document, the end-to-end process takes around 3-7 days. The most time consuming process is on delivery process to related parties
The e-LG flow will be considerably shortened from 7 days to less than a day*.
*Given that the requestors already have the available credit limit with the bank they are sending requests.
Reduce operational document process of LG
Fully use of e-LG reduces piles of paper and cost of storage
Strengthening creditability and shorten validation process
Provide standardised LG format among bank members
Reduce human error and creating more efficiency to the business
There are Three models of joining the platform as a beneficiary
Shared among multiple beneficiaries and use the service via BCI web portal.
Each member owns a private node in blockchain network, keeping only its own data in that node.
Private node with Cloud
Shared among multiple beneficiaries use node in blockchain network
Beneficiary opens the portal where the requester can submit request into the platform. The request will, then, be processed and responded back by the bank to beneficiary and requester, through beneficiary’s portal, via blockchain platform
Beneficiary only model
The requester has to contact directly with the bank, either at branches or via website to request for any LG services. Then, the bank will process such request and send post-approval LG data into blockchain to beneficiary
Service plan according of the organization's.