Spiko and Concordium Disintermediate $300B Trade Finance Market with Blockchain

Spiko, a regulated provider of tokenized money market funds, has partnered with Concordium, a Layer 1 blockchain platform, to eliminate the use of escrow in global trade finance. The initiative targets a $300 billion market currently hindered by outdated infrastructure, slow settlement processes, and inefficient capital allocation. The collaboration aims to replace traditional escrow services with blockchain-based smart contracts, enabling instant, cross-border payments that are triggered automatically based on pre-agreed delivery milestones [1].

The partnership leverages Concordium’s programmable infrastructure and identity-verified protocol to facilitate real-time settlement of tokenized fund shares. This approach removes the need for third-party intermediaries, allowing buyers and sellers to execute payments securely and efficiently. Unlike traditional escrow accounts, where capital is typically held idle until a transaction is finalized, the new system allows funds to continue generating returns within tokenized money market funds until the exact moment they are needed [2].

Spiko and Concordium initially plan to target high-value sectors such as pharmaceuticals and oil in Europe, where individual trade deals often exceed tens of millions of dollars. A memorandum of understanding has already been signed with a major trade finance partner, and the companies are preparing for future expansion to address the $2.5 trillion global trade finance gap [3].

Spiko’s CEO, Paul-Adrien Hyppolite, emphasized that the partnership marks a significant shift in an industry still reliant on outdated tools like fax machines and email. With Concordium, Spiko is enabling programmable settlement where payments move at the speed of information, supported by verified identities and regulated assets [4].

Concordium’s CEO, Boris Bohrer-Bilowitzki, highlighted that the initiative addresses a critical pain point in trade finance: the requirement to set aside capital during transaction completion. By removing this constraint, companies can maximize the productivity of their capital and improve overall operational efficiency [5].

Spiko, which launched in 2024, has already processed over $900 million in working capital and surpassed $400 million in assets under management. The firm recently raised $22 million in funding to accelerate its growth and expand its product offerings. Spiko’s tokenized money market funds hold short-term government debt from top-rated Eurozone countries and the U.S. Treasury, ensuring a secure and stable investment vehicle for users [6].

The partnership between Spiko and Concordium is positioned as a foundational shift in the future of global financial flows. By integrating regulatory compliance, real-world assets, and programmable execution, the two companies are building a more transparent, efficient, and scalable trade finance ecosystem. Their collaboration reflects a broader industry trend toward blockchain-based solutions that aim to modernize traditional financial infrastructure [7].

Sources:

[1]title1.............................(https://www.concordium.com/article/spiko-and-concordium-to-disrupt-300b-global-trade-finance-industry)

[2]title2.............................(https://www.theblock.co/press-releases/365786/spiko-and-concordium-partner-to-eliminate-escrow-and-transform-300b-trade-finance-market)

[3]title3.............................(https://www.ainvest.com/news/spiko-partners-concordium-disintermediate-300b-trade-finance-market-2508)

[4]title4.............................(https://ambcrypto.com/spiko-and-concordium-partner-to-eliminate-escrow-and-transform-300b-trade-finance-market/)