The solution blockchain of Raiffeisenbank was reduced by time of settlings with partners for Petroleum Trading

2020

Project completion of automation of settlings with partners

Solution blockchain of Raiffeisenbank time of settlings with partners for Petroleum reduced Trading from days to minutes. The bank reported about it on November 10, 2020.

Within the final stage of the project the scenario of settlings with the partners who are not clients of Raiffeisenbank was implemented.

Raiffeisenbank completed the project of automation of calculations for Petroleum Trading on a basis block whose - platforms R-Chain and PROLEUM. Integration platforms occurred step by step, at the first stage which was completed in July, 2020, settlings with partners – clients of Raiffeisenbank were automated. It allowed to accelerate considerably shipment of goods at prepayment or to automatically close receivables. Automation of process of settlings with partners in others became the final stage banks.

After exposure of a payment request through specially developed API- the interface it gets to the PROLEUM node with registry access bank, within several seconds is transferred to bank, and then through payment system CENTRAL BANK OF THE RUSSIAN FEDERATION — to bank of the partner. Process becomes completely transparent for the parties, and minimum possible time of passing of process thus is reduced from one day to half an hour.

Transition to the automated work with payment requests on a basis a solutions blockchain offers prospects of development of the developed commodity-money relations between the companies. The client bank is enough to confirm to clients in one click payment of the requirement in the. In the future we plan transition to a non-acceptance write-off — it will allow to reduce risks for us, so and the price for clients. Besides, cost reduction for all supply chain will become possible — Maxim Dyachenko, the managing partner Petroleum Trading noted.

Implementation of the solution on technology of the distributed registers of Hyperledger Fabric allows to make payment process completely transparent for all participants, to guarantee confidentiality and complete stability of data. Acceleration of payment process reduces delivery time and also increases equity turnover at potranzaktsionny calculation. Besides, the solution can be scaled on an unlimited number of suppliers and partners without additional costs.

Solutions on a basis a blockchain allow to make difficult process of settlement between the companies simple and fast — the head of the center of the innovative technologies of Raiffeisenbank Evgenia Ovchinnikova emphasized. — Raiffeisenbank accumulated wide experience of use of blockchain technologies in optimization of financial processes of the companies of the different industries, and we are ready to propose solutions for different tasks of our clients.

End of the first stage of the project on automation of calculations

On July 28, 2020 the Raiffeisenbank company reported that it completed the first stage of the project on automation of calculations for Petroleum Trading. Within the project integration of two blockchain platforms of bank and the petrotrader was carried out: PROLEUM and R-Chain. Considerable acceleration of settlings with buyers and also increase in transparency for all participants of process will become a project deliverable.

According to information, annually Petroleum Trading concludes 13 thousand bargains on supply of oil products and LPG (liquefied petroleum gases). Contracts in the market of oil products are historically characterized by a large number of identical transactions which design requires a significant amount of documents, so, time and finance costs. To increase transparency of the market and to reduce administrative costs, Petroleum Trading for several years consistently automates all chain of the transaction, beginning from signing of the contract to accounting and tax statements.

Automation of payment under transactions – one of stages without which the transaction cannot be up to the end digital and transparent. Earlier calculations Trading were carried out to Petroleum in the way, standard for the industry, through exchange of documents by e-mail. It led to delays in payment and did not exclude influence of a human factor – errors which in a case with large oil contracts are especially critical.

To guarantee a seamless automatic process of payment, Raiffeisenbank offered the company integration of a blockchain platform for the conclusion of transactions of PROLEUM with information and payment services of a blockchain platform of R-Chain bank. This solution allows to automate drawing of accounts and payment requests according to transactions and tracking of payments.

Target process for workflow automation on payments looks as follows:

• Petroleum Trading and the partner conclude the bargain on the PROLEUM blockchain platform or a traditional method;
• Information on the transaction is loaded into the ERP system Petroleum Trading;
• If the partner is a client of Raiffeisenbank, the ERP system Petroleum Trading creates the letter with the payment document. Via specially developed API interface it gets to the PROLEUM node with registry access of bank, within several seconds is transferred to bank and Raiffeisen Business Online of the partner is displayed in a system. Then the company makes payment by clicking of one button. In this scenario payment takes no more than 5 minutes.
• If the partner is not a client of Raiffeisenbank, the ERP system Petroleum Trading creates a payment request on payment of the transaction, via specially developed API interface it gets to the PROLEUM node with registry access of bank, within several seconds is transferred to bank and, within 10 minutes through payment system CENTRAL BANK OF THE RUSSIAN FEDERATION, – to bank of the partner. This scenario is going to be implemented in August, 2020, having reduced minimum possible time of payment thus from several hours to minutes.
• Upon payment of the transaction the trader on the PROLEUM blockchain platform receives the notification on transfer of funds for the account through R-Chain.
• As a result process of accomplishment of calculations and tracking of payments between the trader and partners is completely automated.

Implementation of the first stage of the project allows to accelerate shipment of goods if it is about prepayment, or automatically to close receivables. This service is available to clients Petroleum Trading since July 28, 2020. Automation of process of settlings with partners in other banks will be the final stage of the project planned for August, 2020.

Services are developed using technology of the distributed registers of Hyperledger Fabric. The solution can be scaled on an unlimited number of suppliers and partners that is especially important for tasks Petroluyem Trading.