The transactions were fully processed and cleared within a few minutes.

BNP Paribas has processed several real-time payments for two of its longstanding clients, Amcor and Panini Group, using blockchain technology.

In September BNP Paribas said that it is co-developing new products and services with a number of its clients that aim to design the next generation of transaction banking and cash management lines facilitated by blockchain technology.

Blockchain technology, a virtual distributed ledger of transactions shared peer-to-peer, can record ownership across a public network of computers rendered tamper-proof by advanced cryptography. It is already known as the platform for the controversial digital currency bitcoin.

The nascent technology is causing a stir within the financial services sector as its supporters believe it could reduce hidden expenses in the financial system by ousting inefficiencies across areas such as payments, syndicated loans and equity clearing.

Using blockchain technology, BNP Paribas processed and cleared payments in various currencies between the bank’s accounts in Germany, the Netherlands and the UK. The transactions were fully processed and cleared within a few minutes, highlighting the potential of the innovative technology, which eliminates delays, unexpected fees and processing errors, BNP Paribas said in a statement.

"This proof-of-concept demonstrates that blockchain technology offers real opportunities to considerably improve our offer for corporate treasury managers. On the payments front, this confirms our strong commitment to follow closely and further accelerate our participation in a number of market initiatives aiming at improving the corporate payments experience using blockchain technology,” said Jacques Levet, head of transaction banking Europe, Middle East and Africa at BNP Paribas.