Santander To Provide Agricultural Commodity Tokens Supported Loans

• Santander, a Spanish multinational bank, is building probability of providing loans supported by agricultural commodity tokens.
• Santander has joined forces with Agrotoken, an organization that released a subsequent agricultural commodity tokens for transactions.
• A pilot test was organized to verify system utilized to generate these loans, producers in Argentina verified software product and its situation.

Pilot Test Organized in Argentina

Spanish Multinational bank Santander has declared that it is building a system to provide loans that might be supported by commodity tokens. The maneuver was released in collaboration with Agrotoken, a startup based in Argentina which built a cluster of grain-backed tokens enabling producers to negotiate with their commodities.

As per a press release by Santander Argentina, a pilot program was already conducted, and producers in Argentina verified the software product and where it is standing. As per the reports, this is an initial product of its kind, connecting monetary products with agricultural tokens, involving blockchain facilities to back transactions.

Santander Argentina’s agrobusiness head, Fernando Bautista, said that This is the initial time that a facility is utilizing cryptocurrency and blockchain tech to extend the agricultural credit market and release the producer’s business potential.

There are currently 3 tokens made by Agrotoken, WHEA, SOYA, CORA. Every token is supported by a ton of grain (wheat, soy, or corn) which the generator delivers to a grain accumulator.

Token will then be issued by a decentralized mechanism that utilizes “Proof of Grain Reserve” to verify the persistence of grain for every transaction.

Applied Tokenization

Santander thinks this token system will assist in the generation of entirely new business, where agricultural producers can get their hands on financing in a direct way, utilizing their own commodities as collateral.

Fintech is among the hottest areas for Santander in Argentina, and it also declared that it will make an investment of $225 million in the nation to upgrade its hardware as well as software framework to provide the latest product to its clients, as per Santander president Ana Botin.

Agrotoken assets were utilized in numerous operations since 2021, assisting producers to take over machinery and other stuff in an easy fashion. Santander is not new to cryptocurrency, as the bank is all set for offering a crypto ETF in the nations.

What Is AgroToken?

AgroToken is a worldwide agricultural commodity tokenization platform. It consists of a professional team who are aspired towards land and the latest virtual economy. They created cryptocurrencies Wheat (WHEA), Corn (CORA), and soy (SOYA), initial grain-supported cryptocurrency assets to trade and save.

Agrotoken is developing the next-gen of agribusiness across the globe. It has its official website, too, where folks can gain more knowledge regarding tokens.

Santander In Argentina

Santander Argentina is an initial private entity in the Argentine monetary system by deposit volume. It controls 400 conventional branches, 8 social collaborated branches, 3 virtual offices, 3 work cafes, and over 4million customers.

It has a team of over 8,000 employees and is available in 22 provinces and in the town of Buenos Aires.

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Steve Anderson is an Australian crypto enthusiast. He is a specialist in management and trading for over 5 years. Steve has worked as a crypto trader, he loves learning about decentralisation, understanding the true potential of the blockchain.

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