New Zealand’s ASB Bank, owned by Commonwealth Bank of Australia, has participated in a new $1.7 million funding round by blockchain startup TradeWindow.

The startup provides a software-as-a-service supply chain solution to create a “single trading window” accessible by all parties involved in the transaction from the importer to the exporter.

ASB Bank is now the second-biggest shareholder after TradeWindow CEO, owns 21%

Following the seed round, ASB Bank now owns a 21% stake in the company and is the second-largest shareholder after TradeWindow’s founder and CEO AJ Smith, The New Zealand Herald reports Dec. 16.

According to an announcement by TradeWindow, ASB Bank participated in the round alongside two new shipping and logistics-focused investors including local family office Leroux and their partner Te Hana consulting, as well as Perth-based Rae family office.

ASB has been contributing to TradeWindow for a while so far

ASB Bank’s contribution follows its initial investment in June 2019, TradeWindow said. Moreover, the bank successfully piloted TradeWindow’s platform back in 2018, executing a trade between a Korean importer and a major New Zealand-based meat exporter, Greenlea Premier Meats.

ASB executive general manager of corporate banking Nigel Annett, who is also on TradeWindow’s board, said that the investment from two major companies shines a light on the potential of TradeWindow’s technology. Annett said:

“ASB supported and invested in TradeWindow early on because we could see the opportunity and the need to simplify the export process, while also providing a secure platform to share relevant information and documentation. For TradeWindow to receive additional investment from companies of this calibre really highlights the opportunity in this space, and we’re incredibly excited that it is nearing commercial launch.”

TradeWindow aims to reduce fraud and cut costs

As previously reported by Cointelegraph, TradeWindow’s technology enables a single trading window for transactions by all participants, only allowing changes in the records after edits are approved by the majority of members on the network. Reducing the risks of fraud, the platform is also designed to cut significant costs by replacing paper documents with digital exchange of data.

As reported, the Auckland-based startup also signed exclusive partnerships with digital documentation service Prodoc and New Zealand-based Independent Verification Services.