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Using blockchain technology in factoring automation

Using blockchain technology in factoring automation

Sberbank, together with an electronics retailer M.Video, have completed the testing of a joint factoring automation project involving blockchain technology.

Within this project, the retailer and its suppliers have implemented a distributed data storage system, which allows for uploading, verifying and storing of all information about shipments. The data is subsequently used by  “Sberbank Factoring” to retrieve all  the data necessary to finance its suppliers.

 

The testing has shown that the use of blockchain led to a significant decrease in the time required to confirm the shipment.

That, in turn, allowed to reduce the total processing time for factoring payments fromthree days to several hours. A full transfer to the system based on blockchain technology is expected to be completed by the end of the year.

According to experts, introduction of systems like that will allow home appliances and electronics suppliers to save about 150-200 million rubles per year.