Next Generation Financial Supply Chain.
The use of Blockchain technology and decentralized apps offers huge advantages for Financial Process Automation: onboarding of new business partners takes seconds; the ownership of data remains with each business partner; a true single source of data and business logic is guaranteed; and a network of networks can be established.
Existing Blockchain technology lacks the functionality required to be effective in Financial Process Automation.
- Financial data, such as invoice documents or company data, cannot be public. Only trusted partners conducting business with one another should be granted access.
- Access to decentralized apps needs to be controlled. The business logic can be a competitive advantage and cannot be publicly accessible.
- Cost per transaction on public blockchains like Ethereum are too high
- The number of transactions per minute are too low to be of any use for Financial Process Automation
By overcoming these shortcomings, the following advantages can be achieved:
- Enables business partners to exchange financial documents and company data in a private, verifiable, and secure way
- Ownership of data including financial documents, follow-up transactions, validated company details and business relationships, remains with the business partner, not with a central organization
- Data ownership allows for enhanced reputation management
- Onboarding new business partners is fast and easy—in a matter of seconds
- Connect different networks and create a network of networks
- Align business processes by authorizing direct access of data to third parties, such as logistics, credit insurance, or trade finance providers, that offer services including credit insurance and trade finance
- Allow access to a new generation of applications and services for the financial supply chain
- One-time implementation of business application logic as a decentralized app instead of many implementations in each backend system reduces costs and is less prone to error
- Create a seamless end-to-end user experience by directly connecting business processes
avvaneo is your trusted advisor in adopting and implementing new and exciting opportunities in Blockchain for FPA.