Sberbank Bank buys accounts worth $ 15 million

Russia’s largest bank, Sberbank, has acquired accounts worth about $ 15 million from Singapore’s trading giant Trafigura through blockchain platform Hyperledger Fabric.

The pilot transaction used the Private Fabric collections function, which can keep a certain set of data confidential in a subset of network participants.

Sberbank’s pilot system uses smart contracts written in Scala, using the Aurelia framework and the bank’s SberCloud cloud solution. The company said it takes a second to form a complete transaction block.

Streamlining transactions and reducing execution time

Sberbank Vice President Alexander Vedyakhin said blockchain technology has helped streamline document flow. A transaction that would normally have lasted at least one day was completed in one hour.

“Our blockchain pilot project records each stage of the transaction: the demand for the purchase of receivables, the processing of the request and its approval at the bank, the issuance of the bank’s offer, the confirmation of the conditions by Trafigura and the settlement of the transaction”,

said Vedyakhin.

The pilot showed how far blockchain technology has come and its value to companies, Sberbank said.

“What we see in 2019, and especially in this pilot, is a continuous evolution of this technology. From a promising technology, but not yet developed, to a more advanced and mature solution, ready to fulfill its promises of revolutionizing the transactions ”,

said the spokesperson for Sberbank.

The two institutions are considering expanding the use of blockchain in global commercial finance.

Sberbank Bank, involved in the use and development of blockchain

Sberbank’s blockchain lab has previously used Hyperledger Fabric to study the opportunities offered by DLT technology. In November 2018, the bank entered into an off-exchange repurchase agreement with the Cyprus branch of the Russian investment company Interros.

In 2017, Sberbank launched another pilot, in which a payment involving Russian companies MegaFon, MegaLabs and Alfa-Bank was registered on a distributed register using Fabric.

Sberbank Bank is also a member of the Fintech Association. A consortium supported by the Russian central bank working on the Ethereum-based enterprise platform called the Masterchain.