Raiffeisen bank in collaboration with “Gazprom Oil” and other major companies has issued the first bank warranty based on blockchain technology, Kommersant reports.
A deal between Gazprom Neft and Mozyr Oil Refinery uses digital banking warranty, developed on R-chain platform. The oil company has commited to supply raw material to Mozer oil refinery. Raiffensen bank acted as supplier’s bank, while Priorbank covered the Belorussian plant.
R-chain technology was developed by Raiffeisen bank in 2017. Raiffeisen’s head of document operations and trading financing Tatiana Ivashkova explains:
“Four nodes participated in the deal, so all parties were fully connected to the platform. Full integration model has been used, which allowed to reach full transparency.”
According to Ivashkova, today banks usually issue warranties in paper form or by email through the SWIFT system. Clients do not have access to the system. Clients get to know about the start and end of the warranty only afterwards, having received messages form the bank. Blockchain gives access to information to all sides.
“We have refined the techniacal solution according to wishes of our clients. There were two significant rquirements: full approval by beneficicaries of deal terms before issuing and an option to instnatly end it if payment obligation is fulfilled.”, – told Raiffesnbank’s representative.
Previously Russian market has already seen blockchain being used for financial operations. In September 2016, Russian Central Bank has begun the development of “Masterchain” blockchain platform based on Ethereum. In October 2017 National Settlement Depositary together with cellphone provider Megaphone and Raiffeisenbank have placed 500 mln of ruble bonds, and in May 2018 mobile operator “MTS” and Sperbank CIB have placed commercial bonds using smart contracts.